Assume that on January 2, 2010. a New Paza franchise purchased fictures for $15,100 cash, expecting the factures to remain in service five years The restaurant has depreciated the fixtures on a double-diminishing-balance basis with $800 estimated residual value on June 30, 2020 New Pizza sold the fixtures for $5 600 cash Requirements 1. Record the sale of the fractures 2. Management is thinking of switching to the straight-line method of depreciation Do you agree? Why or why not? Requirement 1. Record the sale of the fixtures Record the depreciation expense on the fixtures for 2020 and then the sale of the fixtures. Record the depreciation expense on the fixtures for the first six months of 2020 (Record debits first, then credits. Explanations are not required. Round the depreciation expense to the nearest whole dollar) Journal Entry Date Accounts Debit Credit June 30 Before recording the sale of fixtures show the calculation of the gain or loss on sale by completing the following table (Use parentheses or a minus sign to indicate a loss.) Gain or loss is computed as follows: Assume that on January 2, 2019, a New Pizza franchise purchased fixtures for $15,100 cash expecting the fixtures to remain in service five years. The restaurant has depreciated the fixtures on a double diminishing-balance basis with $800 estimated residus value. On June 30, 2020. New Puzz sold the fixtures for S5600 cash Requirements 1. Record the sale of the fridures 2. Management is thinking of switching to the straight line method of depreciation Do you agree? Why or why not? Record the sale of the fixtures Journal Entry Accounts Date Debit Credit June 30 Requirement 2. Managinent is thinking of switching to the straight-line method of depreciation to you agree? Why or why not? If the fixtures generale revenue evenly over time, then the method would be a good choice. If the fixtures generate greater amounts of revenue earlier in their useful lives and less in later years, then management should continue to keep using the Journal Entry Accounts Debit Credit Kanagement is the king of switching to the state method of depreciation Do you agree Why why rever evenly over time when the method would be a good choice of the fact at or enter any number in the input diminishing-balance saghi- units-of-production next