complete-the-journal-entries-for-12-31-2018-1

Assignmentguruh.com boasts a team of highly skilled and experienced writers who specialize in various academic fields. The company carefully selects its writers through a rigorous screening process to ensure that they possess the necessary qualifications and expertise. Whether it’s an essay, research paper, or any other homework assignment, students can rely on Assignmentguruh.com to connect them with professionals who have an in-depth understanding of the subject matter. This ensures that the work delivered is of high quality and meets the academic standards set by educational institutions.
In June of 2018 Bill buys a piece of land with an old building on it. Bill knocks down the old building and builds another bakery with a café and a small warehouse.He also put in a parking lot.The cost of the land was $100,000.He paid $3000 in delinquent real estate taxes and $7000 in attorney’s fees at the closing.The cost to knock down the old building and clear the land was $16,000, but he was able to sell the scrap bricks and lumber for $6,000.The cost to construct the new building was $140,000 and he paid $10,000 to have the parking lot paved and have lights and a fence put up.After the building was completed Bill had an alarm system installed for $2000.Bill purchased furniture and fixtures for $4,000 and was able to buy an oven, refrigerator-freezer and dishwasher for special bundle price of $34,000.The actual fair market values and life and salvage value are listed below: Actual Use
Est LifeSalvValueEstUsefulHrs Yr 1 Yr 2 Oven………………….…..$14,000 5 yrs$2,0004,000 3001,000
Refrigerator-Freezer…..….$20,000 4 yrs $4,0008,000 1,200 2,400
Dishwasher……………….$6,0003 yrs$1,0002,000400 800
Bill financed the purchase of the land, construction of the building and equipment by taking out a 15 year mortgage for $250,000 at a rate of 6%.
Bill is also ready to replace the equipment at his other location, but is undecided about whether he should buy or lease the equipment.Bill has a friend who is willing to buy the equipment for $7,000.
Required:

Record journal entries for the transactions associated with the mortgage issued on 06/01/18 and the purchase of the land (07/01/18), building, equipment, parking lot, and furniture and fixtures (10/1/18)
Prepare an amortization schedules for the payments on the small business loan and the mortgage
Record the payments on the $60,000 loan for the year (may be done as a summary entry) and the first 6 months of mortgage payments (adjust for interest which should be capitalized during construction of building (7/1/18-9/30/18) and accrued interest on 12/31/18
Prepare depreciation schedules for the new assets using straight-line depreciation. Also prepare depreciation schedules using an accelerated and activity based method for he kitchen equipment only.
Record journal entries for the depreciation on the old and the equipment using the results of your straight line calculations.
Record the sale of the old equipment on 12/31/18
Record $700,000 of cash Sales earned and $650,000 operating expenses paid from March to December and close to Retained Earnings along with any other revenue and expenses recorded in your entries.

Assume a 5 year life for the furniture and fixtures with no salvage value and the building has a life of 25 years and a salvage value of $50,000. You will have to look up the depreciable life for the parking lot.
Use the excel that i gave u, just complete the journal entries for 12/31/2018

 
 
Do you need a similar assignment done for you from scratch? We have qualified writers to help you. We assure you an A quality paper that is free from plagiarism. Order now for an Amazing Discount! Use Discount Code “GURUH” for a 15% Discount!NB: We do not resell papers. Upon ordering, we do an original paper exclusively for you.