These transactions took place for Glavine Co. 2013

These transactions took place for Glavine Co.
2013
1. May 1 Received a $5,500, 12-month, 8% note in exchange for an outstanding account receivable from S. Rooney.
2. Dec. 31 Accrued interest revenue on the S. Rooney note.
2014
3. May 1 Received principal plus interest on the S. Rooney note. (No interest has been accrued since December 31, 2013.)

Record the transactions in the general journal. The company does not make entries to accrue interest except at December 31.(Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,250.)
No. Date Account Titles and Explanation Debit Credit

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Exercise 9-1
The following expenditures relating to plant assets were made by Watkens Company during the first 2 months of 2014.

(a) Indicate the account title to which each expenditure should be debited.
1. Paid $7,000 of accrued taxes at the time the plant site was acquired.

2. Paid $200 insurance to cover a possible accident loss on new factory machinery while the machinery was in transit.

3. Paid $850 sales taxes on a new delivery truck.

4. Paid $21,000 for parking lots and driveways on the new plant site.

5. Paid $250 to have the company name and slogan painted on the new delivery truck.

6. Paid $8,000 for installation of new factory machinery.

7. Paid $900 for a 1-year accident insurance policy on the new delivery truck.

8. Paid $75 motor vehicle license fee on the new truck.

Exercise 9-3
On March 1, 2014, Zobrist Company acquired real estate, on which it planned to construct a small office building, by paying $85,780 in cash. An old warehouse on the property was demolished at a cost of $7,700; the salvaged materials were sold for $1,680. Additional expenditures before construction began included $1,300 attorney’s fee for work concerning the land purchase, $4,940 real estate broker’s fee, $8,900 architect’s fee, and $14,800 to put in driveways and a parking lot.

(a) Determine the amount to be reported as the cost of the land.
Cost of land $
Hinshaw Company purchased a new machine on October 1, 2014, at a cost of $98,800. The company estimated that the machine has a salvage value of $8,800. The machine is expected to be used for 71,200 working hours during its 8-year life.

Compute the depreciation expense under the straight-line method for 2014 and 2015, assuming a December 31 year-end. (Round answers to 0 decimal places, e.g. 125.)
2014 2015
The depreciation expense under the straight-line method $