70.2K
Verified Solution
Link Copied!
The following table presents selected items from the 2014 and 2013 balance sheets and 2014 income statement of Golden Enterprises, Inc.
| GOLDEN ENTERPRISES, INC. |
| Selected Balance Sheet Data | | Selected Income Statement Data |
| | 2014 | 2013 | | | 2014 |
| Property and Equipment, cost | $84,777,771 | $80,132,394 | | Depreciation Expense | $3,184,956 |
| Accumulated Depreciation | 60,136,353 | 57,852,770 | | Gain on Sale of Property | |
| | | | | and Equipment | 89,483 |
| Retained Earnings | 18,876,264 | 17,319,003 | | Net Income | 3,029,768 |
Golden Enterprises reported expenditures for property and equipment of $5,559,183 in 2014.
| a. | What was the original cost of the property and equipment that Golden Enterprises sold during 2014? |
| | $Answer | |
| | What was the accumulated depreciation on that property and equipment at the time of sale? |
| | $Answer | |
| b. | Compute the cash proceeds from the sale of property and equipment in 2014. | |
| | $Answer | |
| c. | Prepare the journal entry to describe the sale of property and equipment. | |
| | | |
| General Journal |
| | Description | Debit | Credit |
| | Cash | $Answer | Answer |
| | Answer | Answer | Answer |
| | Property and equipment, cost | Answer | $Answer |
| | Answer | Answer | Answer |
| d. | Determine the cash dividends paid in 2014. | |
| | $Answer |
Answer & Explanation
Solved by verified expert
