CON8-1 (Static) Asset Acquisition, Depreciation, and Disposal Pool Corporation, Inc., is the world's largest wholesale distributor of swimming pool supplies and equipment. Assume Pool Corporation purchased for cash new loading equipment for the warehouse on January 1 of Year 1 , at an invoice price of $72,000. It also paid $2,000 for freight on the equipment, $1,300 to prepare the equipment for use in the warehouse, and $800 for insurance to cover the equipment during operation in Year 1 . The equipment was estimated to have a residual value of $3,300 and be used over three years or 24,000 hours. Required: 1. Record the purchase of the equipment, freight, preparation costs, and insurance on January 1 of Year 1. 2. Create a depreciation schedule assuming Pool Corporation uses the straight-line method. 3. On December 31 of Year 2 before the year-end adjustments, the equipment was sold for $22,500. Record the sale of the equipment assuming the company used the straight-line method. Complete this question by entering your answers in the tabs below. Record the purchase of the equipment, freight, preparation costs, and insurance on January 1 of Year 1 . (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the puchase of equipment, freight, preparation costs, and insurance. Note: Enter debits before credits. Creat Required 1 tion schedule assuming Pool Corporation uses the straight-line method. (Do not round intermediate calculations. Round your final answers to nearest whole dollar.) On December 31 of Year 2 before the year-end adjustments, the equipment was sold for $22,500. Record the sale of the equipment assuming the company used the straight-line method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the depreciation expense, assuming the company uses the straight-line method. Note: Enter debits before credits