On January 1 of this year, Diaz Boutique pays $205,000 to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These improvements are estimated to yield benefits for 10 years. Diaz leases (does not own) its store and has 8 years remaining on the lease. 1. & 2. Prepare the journal entry to record the cost of modernization and amortization at the end of this current year. View transaction list Journal entry worksheet 1 2 Record the cost of modernization of the store for $205,000 cash. Note: Enter debits before credits. Date January 01 General Journal Debit Credit Record entry Clear entry View general journal >
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- On January 1 of this year, Diaz Boutique pays $170,000 to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These improvements are estimated to yield benefits for 8 years. Diaz leases (does not own) its store and has 5 years remaining on the lease. 1. & 2. Prepare the journal entry to record the cost of modernization and amortization at the end of this current year. View transaction list Journal entry worksheet 1 2 Record the cost of modernization of the store for $170,000 cash. Note: Enter debits before credits. Date January 01 General Journal Debit CreditOn January 1 of this year, Diaz Boutique pays $130,000 to modernize its store. Improvements Include new floors, cellings. wiring, and wall coverings. These Improvements are estimated to yleld benefits for 8 years. Dlaz leases (does not own) Its store and has 5 years remalning on the lease. 1. & 2. Prepare the Journal entry to record the cost of modernization and amortization at the end of this current year. Vlew trannaction lst Journal entry worksheet Record the cost of modemization of the store for $130,000 cash. Note: Enter debits before credits. Date General Journal Debit Credit Jan 01 Record entry Clear entry Vlew general JournalOn January 1 of this year, Diaz Boutique pays $185,000 to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These improvements are estimated to yield benefits for 10 years. Diaz leases (does not own) its store and has 8 years remaining on the lease. 1. & 2. Prepare the journal entry to record the cost of modernization and amortization at the end of this current year. No 1 Date January 01 Leasehold improvements Cash 2 December 31 Answer is complete but not entirely correct. General Journal Debit 185,000 Credit 185,000 Amortization expense-Leasehold improvements Cash 30 185,000 185,000
- Hartman Delivery Service purchased a new delivery truck for $29,000. At the time of purchase, Hartman made a 20% down payment and financed the rest with a 3-year note. Which of the following is the appropriate journal entry for this transaction ?NEW Co. leased an office and paid $20,000 for leasehold improvements in January of this year. This cost included drywall, new carpets, and all new lighting fixtures. The term of the lease is 2 years plus an option to renew for 2 more years. Required: Calculate the maximum CCA that NEW Co. will be allowed to deduct this year. (Show calculations and the process of arriving at your answer.)On January 1 of this year, Diaz Boutique pays $105,000 to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These improvements are estimated to yield benefits for 10 years. Diaz leases (does not own) its store and has eight years remaining on the lease. Prepare the entry to record (1) the cost of modernization and (2) amortization at the end of this current year.
- On January 1 of this year, a company pays $165,000 cash to modernize its store with new flooring, internet wiring, and wall fixtures. These improvements are estimated to yield benefits for 10 years. The company leases (does not own) its store and has 8 years remaining on the lease. 1. & 2. Prepare the entry to record its cash payment for the leasehold improvements and the December 31 year-end entry to amortize the leasehold improvements. View transaction list Journal entry worksheet 1 2 Record the cost of modernization of the store for $165,000 cash. Note: Enter debits before credits. Date January 01 General Journal Debit Credit >Milano Gallery purchases the copyright on a painting for $210,000 on January 1. The copyright is good for 10 more years. The company plans to sell prints for 19 years. Prepare entries to record the purchase of the copyright on January 1 and its annual amortization on December 31. View transaction list Journal entry worksheet 1 > Record the purchase of the copyright on a painting for $210,000 cash. Note: Enter debits before credits. Date General Journal Debit Credit Jan 01Crestfield leases office space. On January 3, the company incurs $26,000 to improve the leased office space. These improvements are expected to yield benefits for 10 years. Crestfield has 5 years remaining on its lease. What journal entry would be needed to record the expense for the first year related to the improvements?
- 50) Crestfield leases office space. On January 3, the company incurs $15,000 to improve the leased office space. These improvements are expected to yield benefits for 10 years. Crestfield has 5 years remaining on its lease. What journal entry would be needed to record the expense for the first year related to the improvements? A) Debit Amortization Expense-Leasehold Improvements $1,500; credit Accumulated Amortization Leasehold Improvements $1,500. B) Debit Depletion Expense $3,000; credit Accumulated Depletion $3,000. C) Debit Depreciation Expense $1,500; credit Accumulated Depreciation $1,500. D) Debit Depletion Expense $15,000; credit Accumulated Depletion $15,000. E) Debit Amortization Expense-Leasehold Improvements $3,000; credit Accumulated Amortization Leasehold Improvements $3,000.Murphy Company purchased a new machine for $120,000 on December 31, 2020. They obtained a loan at the bank to finance the purchase. The terms of the loan were: 5 years, 5% interest, annual payments of principal and interest on December 31 of each year. a. Using the table provided, calculate the annual payment on the loan. b. Record the purchase of the new machine on December 31, 2020. c. Record the loan payment on December 31, 2021. d. Record the loan payment on December 31, 2022. d. Calculate the loan balance for December 31, 2022 after the payment. a. Using the table below, calculate the annual payment on the loan.…Murphy Company purchased a new machine for $120,000 on December 31, 2020. They obtained a loan at the bank to finance the purchase. The terms of the loan were: 5 years, 5% interest, annual payments of principal and interest on December 31 of each year. a. Using the table provided, calculate the annual payment on the loan. b. Record the purchase of the new machine on December 31, 2020. c. Record the loan payment on December 31, 2021. d. Record the loan payment on December 31, 2022. d. Calculate the loan balance for December 31, 2022 after the payment. a. Using the table below, calculate the annual payment on the loan. Loan Amount…