Response the following:
The following expenditures relating to plant assets were made by Spaulding Company
The following expenditures relating to plant assets were made by Spaulding Company during the first 2 months of 2011. (b) List the numbers of the foregoing transactions, and opposite each indicate the account title to which each expenditure should be debited. during the first 2 months of 2011.
Account
1. Paid $5,000 of accrued taxes at time plant site was acquired. 1. Paid $5,000 of accrued taxes at time plant site was acquired.
2. Paid $200 insurance to cover possible accident loss on new factory machinery while the machinery 2. Paid $200 insurance to cover possible accident loss on new factory machinery while the machinery
was in transit. was in transit.
3. Paid $850 sales taxes on new delivery truck. 3. Paid $850 sales taxes on new delivery truck.
4. Paid $17,500 for parking lots and driveways on new plant site. 4. Paid $17,500 for parking lots and driveways on new plant site.
5. Paid $250 to have company name and advertising slogan painted on new delivery truck. 5. Paid $250 to have company name and advertising slogan painted on new delivery truck.
6. Paid $8,000 for installation of new factory machinery. 6. Paid $8,000 for installation of new factory machinery.
7. Paid $900 for one-year accident insurance policy on new delivery truck. 7. Paid $900 for one-year accident insurance policy on new delivery truck.
8. Paid $75 motor vehicle license fee on the new truck. 8. Paid $75 motor vehicle license fee on the new truck.