3. Plankton Corp. owned an asset that cost $600,000. The company sold the asset on January 1, Year 3 for $310,000. Accumulated depreciation on the day of the sale was $450,000. Based on this information, answer the following questions: a. What is the gain/loss on the sale? ssets b. Show the impact of the transaction on the horizontal equation: Liabilities + Stockholders' Rev/Gain Exp/Loss - Equity Net Income Cash Flow 4. Giant Corp. purchased a truck on January 1, Year 1 for $75,000. The truck is estimated to have a 5 year life and salvage value of $15,000. The company uses the straight line method. a) At the beginning of Year 3, Giant revises the expected life to 7 years, what is the new annual depreciation expense? b) At the beginning of Year 3, Glant keeps the life the same, but changes the salvage value to $10,000. What is the new annual depreciation expense? 5. Swan Company purchased a coal mine on January 1, Year 1 for $20,000,000. 640,000 tons of coal are expected to be extracted from the mine. In Year 1,90,000 tons are mined. What is the depletion expense for Year 12 89