Question

Cushenberry Corporation had the following transactions. 1. Sold land (cost $7.200) for $9,000. 2. Issued common stock at par for $22,900. 3. Recorded depreciation on buildngs for $16,600. 4. Paid salaries of $7,000 S. Issued 1,100 shares of $1 par value common stock for equipment worth $9,200 6. Sold equipment (cost $14,400, accumulated depredation $10,080) for $1,728 (a) For each transaction above, prepare the journall entry. (Credit account titles are automatically indented when amount is entered. Do not indent manualy.) Debit No. Account Itles and Explanation Credit 1

Answer 1

Events	Particulars			Debit	Credit
1)	Cash			$   9,000.00
	To Land				$   7,200.00
	To Gain on sale		(bal.fig)		$   1,800.00
2)	Cash			$ 22,900.00
	To Common Stock				$ 22,900.00
3)	Depreciation Expense			$ 16,600.00
	To Accumulated Depreciation				$ 16,600.00
4)	Salaries Expense			$   7,000.00
	To Cash				$   7,000.00
5)	Equipment			$   9,200.00
	To Common Stock				$   1,100.00
	To PIC in excess of par				$   8,100.00
6)	Bank			$   1,728.00
	Accumulated Depreciation			$ 10,080.00
	Loss on sale		(bal.fig)	$   2,592.00
	To Equipment				$ 14,400.00