4. On July 15, 2018, Cottonwood Industries sold a patent and equipment to Roquemore Corporation for $950,000 and $425,000, respectively. The book value of the patent and equipment on the date of sale were $220,000 and $520,000 (cost of $770,000 less accumulated depreciation of $250,000), respectively.

Prepare the journal entries to record the sales of the patent and equipment. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

5. Mondale Winery depreciates its equipment using the group method. The cost of equipment purchased in 2016 totaled $515,000. The estimated residual value of the equipment was $49,000 and the group depreciation rate was determined to be 18%.

What is the annual depreciation for the group? If equipment that cost $51,000 is sold in 2017 for $44,000, what amount of gain or loss will the company recognize for the sale? (Enter your answers in whole dollars.)

Annual depreciation	?
?	?