Create the journal entry for depreciation for the end of the first year FOR BOTH straight line depreciation and units-of-activity. Then create the journal entry to record the sale of that item at the end of its life assuming the straight line method was used to record depreciation for the life of the item.

Belair Company purchased a food truck on January 1,2021 , at cost of $55,000. The Salvage value for the food truck is $80,000. The estimated useful life is 10 years. The total units of activity is 230,000 miles for the 10 years. Belair Company will sell the food truck for $15,000. Belair Company purchased a food truck on January 1,2021 , at cost of $55,000. The Salvage value for the food truck is $80,000. The estimated useful life is 10 years. The total units of activity is 230,000 miles for the 10 years. Belair Company will sell the food truck for $15,000