Adjusting Entry: Record the depreciation expense (straight-line) on equipment for the year ending Dec 31, 2017. All depreciable assets were purchased on the date of incorporation (January 1, 2011) and have an estimated useful life of 20 years, with a residual (salvage) value equal of 10% of original costs.

Info given: As of the close of business on December 31, 2016, the company had the following trial balance:

1. Equipment= Dr $66,000

2. Accumulated depreciation - equipment= Cr $17,820