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Purchase a 20xw Ford truck for $26,750. The terms include a $4,750 down payment an a 3-year, 6% promissory note to Ford Credit for the remaining $22,000, principal and interest on the note are due monthly beginning January 4, 20xy. The company expects the truck to have a useful life of 5 years and no salvage value. Prepare the transaction and show how the transaction recorded in the journals and ledgers.for Comprehensive assurance & systems tool manual practice set.
During the past year, a company completed the following transactions related to the acquisition of property and the construction thereon of a new factory:
(a) Journalize the transactions. (b) Indicate the income statement effects of the transacton.
Prepare the adjusting entry required on June 30, assuming July 1 falls on a Tuesday.
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