Below are selected entries for Joanna Co.:
1. The $ 60 cost of repairing a printer was charged to Equipment.
2. The $ 5,000 cost of a major engine overhaul was debited to Repairs Expense. The overhaul is expected to increase the operating efficiency of the truck.
3. The $ 6,000 closing costs associated with the acquisition of land were debited to Legal Fees Expense.
4. A $ 600 charge for transportation costs on new equipment purchased was debited to Delivery Expense.
5. Freight cost incurred bringing a new piece of equipment to the plant site was charged to Equpment.
Instructions
For each entry below make a correcting entry if necessary. If the entry given is correct, then state "No entry required."

Question

Quizplus · Accepted Answer

The Answer of Below are selected entries for Joanna Co.:
1. The $ 60 cost of repairing a printer was charged to Equipment.
2. The $ 5,000 cost of a major engine overhaul was debited to Repairs Expense. The overhaul is expected to increase the operating efficiency of the truck.
3. The $ 6,000 closing costs associated with the acquisition of land were debited to Legal Fees Expense.
4. A $ 600 charge for transportation costs on new equipment purchased was debited to Delivery Expense.
5. Freight cost incurred bringing a new piece of equipment to the plant site was charged to Equpment.
Instructions
For each entry below make a correcting entry if necessary. If the entry given is correct, then state "No entry required."

Below Are Selected Entries for Joanna Co