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FGH Company needs a truck and a trailer to use in the business. The truck they want normally sells for $30,000 and the trailer they want normally sells for $10,000. Because they bought the truck and trailer together, the seller charged FGH only $32,000 for the two assets. FGH paid cash on January 1, 2018. FGH expects to use the truck for 5 years before buying a replacement. FGH estimates that at the end of the 5 years, they will be able to sell the used truck for $10,000. FGH plans to use the trailer until it no longer functions, which FGH estimates will be after about 8 years of use. At that point, they don't expect to need a trailer any more. Which of the following entries should FGH make on 1/1/18 to record the purchase of these two assets? A. Cash Truck & Trailer Decrease Increase $32,000 $32,000 B. Cash Truck Trailer Decrease Increase Increase $32,000 $ 30,000 $ 10,000 C. Cash Truck Trailer Decrease Increase Increase $ 40,000 $ 30,000 $ 10,000 D. Cash Truck Trailer Gain on Equipment Purchase Decrease Increase Increase Increase $ 32,000 $ 30,000 $ 10,000 $ 8,000 E. Cash Truck Trailer Decrease Increase Increase $ 32,000 $ 30,000 $ 2,000 F. Cash Truck Trailer Decrease Increase Increase $ 32,000 $ 22,000 $ 10,000 G. Cash Truck Trailer Decrease Increase Increase $32,000 $ 24,000 $ 8,000

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