A company purchases new equipment for $72,000 cash on August 1, 2018. At the time of purchase, the equipment is expected to be used in operations for four years (48 months) and have no resale or scrap value at the end. The company depreciates the equipment evenly over the 48 months ($1,500/month).

Record the adjusting entry for depreciation on December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)