On august 4, armstrong trucking, inc., paid $4,500 to replace the engine in one of its trucks. complete the necessary journal entry by selecting the account names from the drop-down menus and entering the dollar amounts in the debit or credit columns.

Explanation:

The journal entry is shown below:

Truck A/c Dr $4,500

        To Cash A/c  $4,500

(Being the truck is replaced for cash)

Since the truck is replaced so we debited the truck account and credited the cash account so that the correct posting can be done.

The replacement cost increase its useful life which is capitalized so we also debited the truck account

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