Question
1. Blossom Corporation owns machinery that cost $26,400 when purchased on July 1, 2014. Depreciation has been recorded at a rate of $3,168 per year.
1. Blossom Corporation owns machinery that cost $26,400 when purchased on July 1, 2014. Depreciation has been recorded at a rate of $3,168 per year. The machinery is sold on September 1, 2018 for $13,860. Prepare journal entries to (a) update depreciation for 2018 and (b) record the sale.
2. Stellar Corporation owns machinery that cost $28,400 when purchased on July 1, 2014. Depreciation has been recorded at a rate of $3,408 per year. The machinery is sold on September 30, 2019 for $7,384.
Prepare journal entries to (a) update depreciation for 2018 and (b) record the sale.
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