Prepare the journal entries to record the transactions

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Question - On April 1, 2020, Bramble Company received a condemnation award of $567,600 cash as compensation for the forced sale of the company's land and building, which stood in the path of a new state highway. The land and building cost $79,200 and $369,600, respectively, when they were acquired. At April 1, 2020, the accumulated depreciation relating to the building amounted to $211,200. On August 1, 2020, Bramble purchased a piece of replacement property for cash. The new land cost $118,800, and the new building cost $528,000.

Required - Prepare the journal entries to record the transactions on April 1 and August 1, 2020.

Reference no: EM132630227

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