Required: Prepare Journal Entries to record the transactions listed...

Required:

Prepare Journal Entries to record the transactions listed below. State any assumptions made.

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'- Fong Corp. reported wrious transaction: in 2032: : a. Equipment with an original cost of $32,500 and accumulated depreciation of $25,000 was deemed unusable and was said for $250 scrap 1i'uralue. . h. A new machine was acquired for $31350. The invoice was marked 2,! l0. [1:30. but Pong did not pay in time to take advantage of the 2% discount for early payment and thus paid the gross amount of 331350. Wiring was improved to accommodate the needs of the new machinery at a can of $250. Related sofi'aIIare to install in the machine required for operation was purchased for ".500. Installation of the new machinery cost $ l.250. There were no component parts with different useful lives. so the machine was recorded on one account. - c. Regular machine maintenance was carried out for ll L000. ' d. A major calerhaul was done on heavy machinery for a cost cflfl.500. This merhau] is expected to he ' completed every five years. e. The building moi'was replaced during the period at a cost ef$22.400 to impm the insulation in the ' buildingandaaseon heatingcostaThe old rooi'had been recorded asaseparateoomponent. It hadan J original cost of $10,200 andwas three-quarters depreciated. I f. Two machines were acquired for a lump~sum amount #326,900. Due machine had an appraised value of ' steam and the other, traces. , 3. Land and building were acquired from a member of the board of directors in exchange for 325,000 of the company's own common shares. The land was appraised at 331500 and the building. 0200.000. The facility will be used for long-term storage. The nmketvalue ofccmmon shares has been around ".25 per share this year, with weekly highs and lows ranging from $l.30 to 00.50. respectively. - h. The company spent 335.000 in a research lab program this year. It was successful in developing three new commercial prrqiects. which represented $ 122.000 of the expenditures budget. Legal fees associated with the three successful projects amount to $21500. ' i. Fong paved its factory parking lot. previously a dirt lot. at a cost $380,050.

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