Q1) On April 1, 2007, SAS Corp. bought and placed in service plant asset. Following information is available regarding the plant asset:
| Acquisition cost ...................................................... |
$140,000 |
| Estimated salvage value .......................................... |
$15,000 |
| Estimated useful life ............................................... |
5 years |
Create the essential adjusting journal entries at December 31, 2007, and December 31, 2008 to record depreciation for each year by using straight-line depreciation method.
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Credit |
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| Dec 31 2008 |
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