Janus Coat Company purchased a delivery truck on June 1 for $30,000, paying $10,000 cash and signing a 6%, 2-month note for the remaining balance. The truck is expected to depreciate $6,000 each year. Janus Coat Company prepares monthly financial statements.
Instructions:
(a) Prepare the general journal entry to record the acquisition of the delivery truck on June 1^st.
(b) Prepare any adjusting journal entries that should be made on June 30^th.
(c) Show how the delivery truck will be reflected on Janus Coat Company's balance sheet on June 30^th.

Question

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The Answer of Janus Coat Company purchased a delivery truck on June 1 for $30,000, paying $10,000 cash and signing a 6%, 2-month note for the remaining balance. The truck is expected to depreciate $6,000 each year. Janus Coat Company prepares monthly financial statements. Instructions: (a) Prepare the general journal entry to record the acquisition of the delivery truck on June 1^st. (b) Prepare any adjusting journal entries that should be made on June 30^th. (c) Show how the delivery truck will be reflected on Janus Coat Company's balance sheet on June 30^th.

Janus Coat Company Purchased a Delivery Truck on June 1