On january 1 2015 johnson company purchased a delivery

Question

Problem 1 - Please prepare journal entries for the following transactions:

• January 1, 2012, purchased a delivery truck, paying $85,000, cash. The truck has an estimated 7 year life and $6,000 salvage value.
• November 1, 2014, sold the delivery truck for $58,000, cash (don't forget to prepare the journal entry to update depreciation for 2014.  Depreciation for 2012-2013 has already been recorded).

Date		Debit	Credit

Problem 2 - On January 1, 2015, Cardinal Corporation issued $85,000 face value bonds at 92.  These bonds pay interest at a 8% annual rate, and pay interest semi-annually (2 times per year), on June 30 and December 31.  The bonds have a 5 year life.  Please record the issuance of the bonds on January 1, 2015, and the first interest payment on June 30, 2015. 

Date		Debit	Credit

Problem 3 - On January 1, 2015, Johnson Company purchased a delivery truck for $114,000, paying $13,000 cash and financing the rest with a 5 year, 5% note, with monthly payments of $1,910. 

Required:

(1) Complete the loan amortization schedule below for the payments made on February 1 and March 1.

(2) Prepare the journal entry for the purchase on January 1.

(3) Prepare the journal entry for the first loan payment on February 1

Loan Amortization Schedule

Date	Payment	Interest	Principal	Loan Balance
January 1				$101,000
February 1
March 1

General Journal

		Debit	Credit
1/1
2/1

Problem 4 - Please prepare journal entries for the following transactions:

• January 1, 2012, purchased a delivery truck, paying $62,000, cash.  The truck has an estimated 7 year life and $9,000 salvage value.
• November 1, 2014, sold the delivery truck for $48,000, cash (don't forget to prepare the journal entry to update depreciation for 2014.  Depreciation for 2012-2013 has already been recorded).

Date		Debit	Credit

Problem 5 - On January 1, 2015, Johnson Company purchased a delivery truck for $67,000, paying $6,000 cash and financing the rest with a 4 year, 5% note, with monthly payments of $1,405. 

Required:

(1) Complete the loan amortization schedule below for the payments made on February 1 and March 1.

(2) Prepare the journal entry for the purchase on January 1.

(3) Prepare the journal entry for the first loan payment on February 1

Loan Amortization Schedule

Date	Payment	Interest	Principal	Loan Balance
January 1				$61,000
February 1
March 1

General Journal

		Debit	Credit
1/1
2/1

Problem 6 - On January 1, 2015, Cardinal Corporation issued $85,000 face value bonds at 108.  These bonds pay interest at an 8% annual rate, and pay interest quarterly (4 times per year), on January 1, April 1, July 1, and October 1.  The bonds have a 5 year life.  Please record the issuance of the bonds on January 1, 2015, and the first quarterly interest payment on April 1, 2015. 

Date		Debit	Credit

Problem 7 - An adapted balance sheet of Kellogg Company is shown below.  Please answer the following questions, and show computations. All questions are independent of one-another.

Kellogg Company and Subsidiaries Consolidated Balance Sheet
Current assets
Cash and cash equivalents	$417,400
Accounts receivable, net	776,400
Inventories	681,000
Other current assets	247,000
Total current assets	$2,121,800
Property, net	2,715,100
Other assets	5,953,500
Total assets	$10,790,400
Current liabilities
Current maturities of long-term debt	$278,600
Notes payable	709,700
Accounts payable	767,200
Other current liabilities	1,090,500
Total current liabilities	$2,846,000
Long-term debt	3,892,600
Other liabilities	1,794,000
Shareholders' equity
Common stock, $?? par value, 1,000,000 shares authorized
Issued: 415,451 shares,  Outstanding: ?? shares	103,800
Capital in excess of par value	1,313,500
Retained earnings	1,387,800
Treasury stock at cost: 2,429 shares	(108,000)
Accumulated other comprehensive loss	(439,900)
Total shareholders' equity	$2,257,200
Total liabilities and shareholders' equity	$10,790,400

How much cash was received from shareholders for common stock per share of common stock?

How many shares of common stock are outstanding?

What is the par value per share of common stock?

If Kellogg declared a $6,000 cash dividend, what would the journal entry be?  Please show below.

	Debit	Credit

Attachment:- Assignment.rar