2) (30 Points) A company purchased and installed equipment on January 1 at a total cost of $'?2,000. Straightline depreciation was calculated based on the assumption of a ve-year life and no salvage value. The equipment was disposed of on December 31 of the fourth year. The company uses the calendar year. 1. Prepare the general journal entry to update depreciation to December 31 in the fourth year. 2. Prepare the general journal entry to record the disposal of the equipment under each of these three independent situations: a. The equipment was sold for $22,000 cash. b. The equipment was sold for $15,000 cash. c. The equipment was totally destroyed in a re and the insurance company settled the claim for $18,000 cash. DATE GENERAL J DURNAL DEBIT CREDIT