Construction company sells euuipment on may 31,2021 for $45000 cash. the equipment was purchased on january 1, 2017, at a cost of $103500 and had an estimate useful life of 7 years and a residual value of 10500. construction company uses straight line deprication for equipmenat adjusting entries are made annullly at the comapny year end , december 31.

Prepare the journal entries the sales of the asset including deprication if necessary.

At dec 31, 2019 sunshine comapny had the following balance in its general ledger

accounts rececivable $165000( Debit )

Allowance for the doubtful debt account 10000 (Credit )

1. collected $180000 from the customer

2. write off $ 10000 of accounts receivable who where no longer concerned collectible.