At Dec 31,2014, Grand Company reported the following as plant assets.
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Land
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$4,103,00
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Buildings
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$28,440,000
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Less: Accumulated depreciation-buildings
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10,867,000
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17,573,000
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Equipment
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48,544,000
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Less: Accumulated depreciation-equipment
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5,458,000
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43,086,000
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Total plant asets
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$64,762,000
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During 2015, the following selected cash transactions occurred.
April 1 Purchased land for $ 2,082,000.
May 1 Sold equipment that cost $1,134,000 when purchased on January 1, 2011. The equipment was sold for $680,400.
June 1 Sold land purchased on June 1, 2005 for $1,472,000. The land cost $401,000.
July 1 Purchsed equipment for $2,370,000.
Dec 31 Retired equipment that cost $497,000 when purchased on Dec 31, 2005. No salvage value was received.
Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildingd are estimated to have 50 years life no salvage value. The equipment is estimated to have a 10 years useful year and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement.
b. Record adjusting entries for depreciation for 2015.Dc 31.
C. Prepare the plant assets section of Grand's balance sheet at Dec 31, 2015.