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Champion Contractors completed the following transactions involving equipment. Year 1 January 1 Paid $258, eee cash plus $10,320 in sates tax and $1,900 in transportation (FOB shipping point) for a new loader. The loader is estinated to have a four-year life and a $25,800 salvage value. Loader costs are recorded in the Equipment account. January 3 Paid $6, oee to install air conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $1,800. December 31 Recorded annual straight-line depreciation on the loader. Year 2 January 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estinated useful life by two years. February 17 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. December 31 Recorded annual straight-line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet Note: Enter debits before credits. Champion Contractors completed the following transactions involving equipment. Year 1 January 1 Paid $258,600 cash plus $10,320 in sales tax and $1,900 in transportation (F0B shipping point) for a new loader. The loader is estinated to have a four-year tife and a $25,800 salvage value. Loader costs are recorded in the Equipment account. January 3 Paid $6, eee to install air conditioning in the loader to enable operations under harsher conditions. This increased the estinated salvage value of the loader by another $1,890. Decenber 31 Recorded annual straight-line depreciation on the loader. Year 2 January 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estinated useful life by two years. February 17 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. December 31 Recorded annual straight-line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet (2) (3) 4 5 6 Paid $258,000 cash plus $10,320 in sales tax and $1,900 in transportation (FOB shipping point) for a new loader. The loader is estimated to have a fouryear life and a $25,800 salvage value. Loader costs are recorded in the Equipment account. January 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estimated useful life by two years. February 17 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. December 31 Recorded annual straight-line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet (1) 4 6 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. Note: Enter debits before credits. January 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estinated useful life by two years. February 17 Paid $1,050 for ninor repairs to the loader after the operator backed it into a tree. December 31 Recorded annual straight-line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet (1) 2 6 Paid $4,200 to overhaul the loader's engine, which increased the loader's estimated useful life by two years. Note: Enter debits before credits. January 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estinated useful life by two years. february 17 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. ecember 31 Recorded annual straight-line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet (1) 56 Recorded annual straight-line depreciation on the loader. Note: Enter debits before credits. January 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estinated useful life by two years. February 17 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. Decenber 31 Recorded annual straight-line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet Recorded annual straight-line depreciation on the loader. Note: Enter debits before credss

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