McClintock Co. had the following transactions involving plant assets during Year 1. Unless otherwise indicated, all transactions were for cash. Jan. 2Purchased a truck for $70,000 plus sales taxes of $3,000. The truck is expected to have a $14,000 salvage value and a 4 year life.Jan. 3Paid $2,500 to have the company's logo painted on the truck. This did not change the truck's salvage value.Dec. 31Recorded straight-line depreciation on the truck.Prepare the general journal entries to record these transactions.
What will be an ideal response?
| Jan. 2 | Trucks | 73,000 | ? |
| ? | Cash | ? | 73,000 |
| ? | ? | ? | ? |
| Jan. 3 | Trucks | 2,500 | ? |
| ? | Cash | ? | 2,500 |
| ? | ? | ? | ? |
| Dec. 31 | Depreciation expense - Trucks | 15,375 | ? |
| ? | Accumulated depreciation - Trucks | ? | 15,375 |
| ? | Calculation: ($75,500 - 14,000)/4 = $15,375 | ? | ? |
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