During 2016, Dora Company completed the following transactions:
Jan. 1 Traded in old office equipment with book value of $55,000 (cost of $124,000 and accumulated depreciation of $69,000) for new equipment. Dora also paid $100,000 in cash. Fair value of new equipment is $163,000. Assume the exchange had commercial substance.
Apr. 1 Sold equipment that cost $54,000 (accumulated depreciation of $42,000 through December 31 of the preceding year). Dora received $6,300 cash from the sale of the equipment. Depreciation is computed on a straight-line basis. The equipment has a five-year useful life and a residual value of $0.
Dec. 31 Recorded depreciation as follows:
Office equipment is depreciated using the double-declining-balance method over four years with a $7,000 residual value.
Record the transactions in the journal of Dora Company.