Dec 31 Record depreciation on the office equipment orice equipment is depreciated using the double-dectang batance method over five years with a 53.000 residual value Date Accounts and Explanation Debit Credit Dec 31 Depreciation Expenseomce Equipment AccumulMed Depreciation omce Equipment To record depreciation onome equament Jan. 1 Purchased office equipment, $110,000 Paid $76,000 cash and financed the remainder with a note payable Apr. 1 Acquired land and communication equipment in a lump-sum purchase Total cost was $330,000 paid in cash. An independent appraisal valued the land at $259,875 and the communication equipment at $86,625. Sep. 1 Sold a building that cost $550,000 (accumulated depreciation of $260,000 through December 31 of the preceding year) Gretta Chung Associates received $350,000 cash from the sale of the building. Depreciation is computed on a straight-line basis. The building has a 40-year useful life and a residual value of $40,000 Dec. 31 Recorded depreciation as follows Communication equipment is depreciated by the straight-line method over a five-year life with zero residual value Office equipment is depreciated using the double-declining- balance method over five years with a $3,000 residual value