Question:

# Entries for Sale of Fixed Asset Equipment acquired on

Last updated: 2/1/2024

Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of 152 470 has an estimated useful lif of 18 years has an estimated residual value of 8 650 and is depreciated by the straight line method a What was the book value of the equipment at December 31 the end of the fourth year 120 510 Feedback Check My Work b Assume that the equipment was sold on April 1 of the fifth year for 111 947 1 Journalize the entry to record depreciation for the three months until the sale date If an amount box does not require an entry leave it blank Round your answers to the nearest whole dollar if required 88 Feedback Check My Work The depreciation account of the fixed asset being sold or discarded needs to be updated to reflect the months of use in the year it is being discarded or sold The straight line method of depreciation calculates the amount of depreciation to be recognized each year 2 Journalize the entry to record the sale of the equipment If an amount box doe not require an entry leave it blank Do not round intermediate calculations