At the end of its first year, the trial balance of Carla Vista Co shows Equipment $21,120 and zero balances in Accumulated Depreciation-Equipment and Depreciation Expense. Depreciation for the year is estimated to be $2,640. (21) Your answer is correct Prepare the annual adjusting entry for depreciation at December 31. (Credit account titles are automatically indented when the amount is entered. Do not indent manually) Debit Credit Date Account Titles and Explanation Dec. 31 Depreciation Expense 2.640 Accumulated Depreciation Equipment 2.640 eTextbook and Media List of Accounts Post the adjustments to T-accounts.(Post entries in the order of journal entries presented in the previous part.) Depreciation Expense 12/31 2,640 Accumulated Depreciation-Equipment 12/31