CENTURY 21 ACCOUNTING © Thomson/South-Western

LESSON 8-1LESSON 8-1

Buying Plant Assets

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LESSON 8-1

1. Complete when asset is purchased.

2. Complete when asset is disposed of.

3. Complete each year to record annual depreciation expense.

PLANT ASSET RECORDPLANT ASSET RECORD page 225

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LESSON 8-1

BUYING A PLANT ASSET FOR CASHBUYING A PLANT ASSET FOR CASH page 226

January 2. Paid cash for new copying machine, $1,680.00. Check No. 62.

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LESSON 8-1

BUYING A PLANT ASSET ON ACCOUNTBUYING A PLANT ASSET ON ACCOUNT page 226

January 2. Bought an office computer on account from Discount Computers, $3,300.00. Memorandum No. 70.

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LESSON 8-1

CALCULATING AND PAYING CALCULATING AND PAYING PROPERTY TAXPROPERTY TAX page 227

Feb 1. Paid cash for property tax, $3,250.00. Check No. 122.

AnnualProperty Tax

=Tax Rate

Assessed Value

$65,000.00 5% = $3,250.00

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LESSON 8-1

TERMS REVIEWTERMS REVIEW

plant asset record real property personal property assessed value

page 228