Bake it Stop, a famous bakery known for its doughnuts, lease on a vehicle expired on January 1, 2023 and it returned the asset to the lessor at that time. Bake it Stop initially recorded an ROU asset of $60,000 and fully depreciated this amount over the lease term. The $30,000 fair value of the asset at return date was $5,000 less than the $35,000 value that Bake it Stop had guaranteed. Bake it Stop previously estimated that it would not have to pay out any monies under the residual value guarantee. Required: Prepare the journal entries to derecognize the ROU asset and lease liability on January 1, 2023