10-04 AM Mon Nov 18 Chap 10 HMWK Exercise 261 Lynn Company owns equipment that cost $120,000 when purchased on January 1, 2018. It has been depreciated using the straight-line method based on estimated salvage value of $15,000 and an estimated useful life of 5 years. Prepare Lynn Company's journal entries to record the sale of the equipment in these four independent situations. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) (a) Sold for $58,000 on January 1, 2021. (b) Sold for $58,000 on May 1, 2021. (c) Sold for $32,000 on January 1, 2021. (d) Sold for $32,000 on October 1, 2021 Debit Date Account Titles and Explanation (a) Cash 58000 63000 Accumulated Depreciation Equipment 120000 Equipment 1000 Gain on Disposal of Plant Assets 58000 (b) Cash Accumulated Depreciation Equipment (To record depreciation expense) Equipment Gain on Disposal of Plant Assets (To record disposal of equipment at a gain) (To record depreciation expense)