Prepare Journal Entries to Record the Following Transactions of a Company

question 99

Essay

Prepare journal entries to record the following transactions of a company during the current year:
$\begin{array}{|l|l|}\hline\text { Mar. 1 } & \begin{array}{l}\text { Purchased a truck for } \$ 30,000 \text { with a five-year useful life and a } \$ 5,000 \text { salvage } \\\text { value. Also paid } 6 \% \text { sales tax, } \$ 350 \text { for the annual truck license, } \$ 500 \text { to paint the } \\\text { truck with the company's colors and name, and } \$ 1,500 \text { for spare parts. All } \\\text { payments were in cash. }\end{array} \\\hline \text { May 10 } & \begin{array}{l}\text { Purchased a garage from a neighboring business with a } 7 \% \text {, four-year, } \$ 75,000 \\\text { note. The seller's book value for the garage was } \$ 42,750 \text {. The estimated remaining } \\\text { useful life of the garage is } 10 \text { years. }\end{array} \\\hline \text { June 1 } & \text { Paid } \$ 1,000 \text { cash to replace (uninsured) garage windows broken during a storm. } \\\hline \text { Aug. 25 } & \begin{array}{l}\text { Purchased used office equipment for } \$ 14,700 \text { cash. Sales tax was } \$ 825 \text {, freight } \\\text { costs } \$ 250 \text {, and reconditioning costs } \$ 900 \text {, all of which were paid in cash. The } \\\text { estimated useful life of the equipment is } 3 \text { years and salvage value is } \$ 500 .\end{array} \\\hline \text { Oct. 5 } & \begin{array}{l}\text { Purchased store equipment for } \$ 24,500 \text { cash. Paid } \$ 1,470 \text { in sales tax, } \$ 550 \text { for } \\\text { repairs incurred from an accident during installation, } \$ 3,200 \text { for a special base to } \\\text { house the equipment, and } \$ 2,600 \text { for supplies to be used during periodic preventive } \\\text { maintenance. The estimated useful life of the equipment is eight years and salvage } \\\text { value is } \$ 1,200 .\end{array}\\\hline\end{array}$

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Definitions:

Absenteeism

The frequent absence from work or other commitments without good reason, often used as an indicator of employee disengagement or dissatisfaction.

Sexual Harassment

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature in the workplace or learning environments.

Cyberbullying

The act of using electronic means to send messages that harass or threaten an individual.

Workplace Information

Refers to data and insights related to the environment, culture, policies, and practices within a place of employment.