Oki Company pays $254,900 for equipment expected to last four years and have a $30,000 salvage value. Prepare journal entries record the following costs related to the equipment. 1. Paid $22,050 cash for a new component that increased the equipment's productivity. 2. Paid $5,513 cash for minor repairs necessary to keep the equipment working well. 3. Paid $15,000 cash for significant repairs to increase the useful life of the equipment from four to seven years. View transaction list A Record the betterment cost of $22,050 paid in cash. 8 Record the cost of minor repairs of $5,513 paid in cash to keep the equipment working well. c Record the cost of significant repairs of $15,000 paid in cash to increase the useful life of the equipment. Note: -journal entry has been entered Record entry Clear entry / Credit > View general journal

Oki Company pays $254,900 for equipment expected to last four years and have a $30,000 salvage value. Prepare journal entries record the following costs related to the equipment. 1. Paid $22,050 cash for a new component that increased the equipment's productivity. 2. Paid $5,513 cash for minor repairs necessary to keep the equipment working well. 3. Paid $15,000 cash for significant repairs to increase the useful life of the equipment from four to seven years. View transaction list A Record the betterment cost of $22,050 paid in cash. 8 Record the cost of minor repairs of $5,513 paid in cash to keep the equipment working well. c Record the cost of significant repairs of $15,000 paid in cash to increase the useful life of the equipment. Note: -journal entry has been entered Record entry Clear entry / Credit > View general journal

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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