70.2K

Verified Solution

Link Copied!

The following table presents selected items from the 2014 and 2013 balance sheets and 2014 income statement of Golden Enterprises, Inc.

GOLDEN ENTERPRISES, INC.
Selected Balance Sheet Data				Selected Income Statement Data
	2014	2013			2014
Property and Equipment, cost	$84,777,771	$80,132,394		Depreciation Expense	$3,184,956
Accumulated Depreciation	60,136,353	57,852,770		Gain on Sale of Property
				and Equipment	89,483
Retained Earnings	18,876,264	17,319,003		Net Income	3,029,768

Golden Enterprises reported expenditures for property and equipment of $5,559,183 in 2014.

a.	What was the original cost of the property and equipment that Golden Enterprises sold during 2014?
	$Answer
	What was the accumulated depreciation on that property and equipment at the time of sale?
	$Answer
b.	Compute the cash proceeds from the sale of property and equipment in 2014.
	$Answer
c.	Prepare the journal entry to describe the sale of property and equipment.

General Journal
	Description	Debit	Credit
	Cash	$Answer	Answer
	Answer	Answer	Answer
	Property and equipment, cost	Answer	$Answer
	Answer	Answer	Answer

d.	Determine the cash dividends paid in 2014.
	$Answer

Answer & Explanation Solved by verified expert

See Answer