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Question 1 At December 31, 2022, Culver Corporation reported the following plant assets. Land $ 3,798,000 11,592,950 Buildings Less: Accumulated depreciation-buildings Equipment Less: Accumulated depreciation equipment $26,690,000 15,097,050 50,640,000 6,330,000 44,310,000 Total plant assets $59,700,950 During 2023, the following selected cash transactions occurred. Apr. 1 May 1 June 1 July 1 Dec. 31 Purchased land for $2,785,200. Sold equipment that cost $759,600 when purchased on January 1, 2016. The equipment was sold for $215,220. Sold land for $2,025,600. The land cost $1,266,000. Purchased equipment for $1,392,600. Retired equipment that cost $886,200 when purchased on December 31, 2013. No salvage value was received. Your answer is correct. Journalize the transactions. Culver uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 40-year useful life and no salvage value; the equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement. (Record entries in the order displayed in the problem statement. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit April 1 ||Land 2785200 Cash 2785200 May 1 Depreciation Expense 25320 Accumulated Depreciation Equipment 25320 (To record depreciation on equipment sold) Accumulated Depreciation Equipment 557040 Cash 215220 Gain on Disposal of Plant Assets 12660 Equipment 759600 June 1 Cash 2025600 Land 1266000 Gain on Disposal of Plant Assets 759600 July 1 Equipment 1392600 > Cash 1392600 Dec. 31 Depreciation Expense 88620 > Accumulated Depreciation Equipment 88620 (To record depreciation on equipment retired) Accumulated Depreciation Equipment 886200 Equipment 886200 Your answer is partially correct. Try again. Record adjusting entries for depreciation for 2023. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select 'No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31 Depreciation Expense 667250 Accumulated Depreciation-Buildings 667250 (To record depreciation on buildings.) Dec. 31 Depreciation Expense 4899420 Accumulated Depreciation Equipment 4899420 (To record depreciation on equipment.) Your answer is partially correct. Try again. Prepare the plant assets section of Culver's balance sheet at December 31, 2023. (Hint: You may wish to set up T accounts, post beginning balances, and then post 2023 transactions.) (List Plant Assets in order of Land, Building and Equipment.) CULVER CORPORATION Partial Balance Sheet December 31, 2023 Plant Assets Land 5317200 Buildings 26690000 Less Accumulated Depreciation-Buildings -15097050 11592950 Equipment 50386800 Less Accumulated Depreciation Equipment -9900120 40486680 Total Plant Assets 57396830

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