Cullumber Company owns equipment that cost $123,000 when purchased on January 2, 2021. It has been depreciated using the straight-line method based on estimated residual value of $3,000 and an estimated useful life of five years.

(c) Prepare Cullumber Company's journal entry to record the sale of the equipment for $30,500 on January 2, 2024. (Cre Indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" fo amounts.) Date Account Titles and Explanation Debit Credit Jan. 2 (To record disposal of equipment.)