P9-5a_at december 31_2011_jimenez company reported the following as

P9-5AAt December 31, 2011, Jimenez Company reported the following as plant assets.
 
Land $ 4,000,000Buildings $28,500,000Less: Accumulated depreciation—buildings 12,100,000 16,400,000Equipment 48,000,000Less: Accumulated depreciation—equipment 5,000,000 43,000,000Total plant assets $63,400,000
 
During 2012, the following selected cash transactions occurred.
 
April 1 Purchased land for $2,130,000.May 1 Sold equipment that cost $780,000 when purchased on January 1, 2008. The equipment was sold for $450,000.June 1 Sold land purchased on June 1, 2002 for $1,500,000. The land cost $400,000.July 1 Purchased equipment for $2,000,000.Dec. 31 Retired equipment that cost $500,000 when purchased on December 31, 2002. No salvage value was received.
 
Journalize a series of equipment transactions related to purchase, sale, retirement, and depreciation.(SO 3, 6, 9)
 
Instructions(a) Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 50-year life and no salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement.
 
(b) Record adjusting entries for depreciation for 2012.Depreciation Expense—building $570,000;equipment $4,772,000
 
(c) Prepare the plant assets section of Jimenez’s balance sheet at December 31, 2012.Total plant assets$61,270,000