Culver Service Ltd uses straightline depreciation. The company's fiscal year end is December The following transactions and
events occurred during their first three years of operations:
July Purchased equipment for $ cash, with shipping costs of $
Nov. Incurred ordinary repairs on a computer of $
Dec. Recorded depreciation on the equipment based on a fouryear life and estimated residual value of
$
Dec. Recorded depreciation.
Jan. Paid $ for a major upgrade of the equipment. This expenditure is expected to increase the operating
efficiency and capacity of the equipment.
Prepare journal entries to record the above events. If no entry is required, select No entry" for the account titles and enter
for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.
Record journal entries in the order presented in the problem. List all debit entries before credit entries.
Date
Account Titles
Debit
Credit
