$1.$ Noelle$$s Necklaces Company manufacturers jewelry for Tiffany$$s$.$ On Jan $1,2024$ Noelle

purchase equipment with a cost of $$275,000$ for cash. Noelle also incurred the following

additional costs:

Sales Tax $$12,500$

Delivery Costs $$2\mathrm{.}800$

Installation Costs $$1,500$

Electricity Costs for January $$2,000$

Noelle uses the Straight$-$line Depreciation method. The equipment has a $10$ year useful life and

Noelle estimates the Equipment will have a $$4,000$ salvage $($residual$)$ value.

Required:

a$.$ What is the Total Cost of the Equipment?

b$.$ Record the Purchase of the Equipment in the Journal.

c$.$ What is the annual depreciation expense?

d$.$ Record the depreciation for Dec $31$st $2024$ in the Journal.

e$.$ Assume that on Dec $31$st $2029,$ after $6$ years of ownership, Noelle sells the equipment to

Jacob$$s Jewelry store for $$80,000$ cash. What is the gain or loss on the sale?

f$.$ Record the sale.