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Year 1 1an. 4 Purchaled a used deivery truck for 332,000 . fuying cash. Now.2. Pald garage $950 for miscetaneous repars to the truck. Dec. 51. Reecordod depreciasin on the tuck foe the year. The estimated usefid ste of the truck is 4 year. with a residual vaue of 32,000 for the truck. Yoar 2 Jan 6. Purchased a new truck tor 530,000 , paying cish Apr, 1. Fotal the used thexk for \$10,000. indeerd depreciaion to dale in Vear 2 tor the thuck.) June. 11, Paid garage. 9910 for miscelanecus repabs ta the theck. Dec. 31. Fiecord depreciation for the new track. it has an estinated tesideal value of $7.000 and an esthated life of 5 years Year 3 July 1. Purchased a new truck kor 305,000 , payvig cash. truck.) Dec, 31. Recoeted depieciation on the remaining truck. it has an eatinated tetitud value of 30 oso and an estimaled useful ite of b years. Required: doumake the transactions and the activaing entries, Chart of Accounts CHART OF ACCOUNTS Legacy Furniture Co, General Ledger ASSETS REVENUE 110 Cash 410 Sales 111 Petty Cash 610 Interest Revenue 112 Accounts Receivable 620 Gain on Sale of Dellvery Truck 114 Interest Receivable 621 Gain on Sale of Equipment 115 Notes Recelvable 116 Merchandise Inventory EXPENSES 117 Supplies 510 Cost of Merchandise Sold 119 Prepaid Insurance 520 Salaries Expense 120 Land 521 Advertising Expense 123 Delivery Truck 522 Depreciation Expense-Delivery Truck 124 Accumulated Depreciation-Delivery Truck 523 Delivery Expense 125 Equipment 525 Truck Repair and Maintenance Expense 126 Accumulated Depreciation-Equipment 529 Selling Expenses 130 Mineral Rights 531 Rent Expense 131 Accumulated Depletion 532 Depreciation Expense-Equipment 132 Goodwill 533 Depletion Expense 133 Patents 534 Amortization Expense-Patents Chart of Accounts 120 Land 5

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