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Oki Company pays $315,050 for equipment expected to last four years and have a $30,000...

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Accounting

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Oki Company pays $315,050 for equipment expected to last four years and have a $30,000 salvage value. Prepare journal entries to record the following costs related to the equipment. 1. During the second year of the equipment's life, $13,000 cash is paid for a new component expected to increase the equipment's productivity by 10% a year 2. During the third year, $3,250 cash is paid for normal repairs necessary to keep the equipment in good working order. 3. During the fourth year, $5,950 is paid for repairs expected to increase the useful life of the equipment from four to five years. Journal entry worksheet 2 Record the betterment cost of $13,000 paid in cash Note: Enter debits before credits. Transaction General Journal Debit Credit Journal entry worksheet 2 Record the cost of normal repairs of $3,250 paid in cash to keep the equipment in good working order. Note: Enter debits before credits. Transaction General Journal Debit Credit Journal entry worksheet 2 Record the cost of repairs of $5,950 paid in cash to increase the useful life of the equipment. Note: Enter debits before credits. Transaction General Journal Debit Credit

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