DEPRECIATION OF FIXED ASSETS: ASSET INFO: use the following information for all of the depreciation related questions that follow. Keeping Kids Active Company, Inc makes playground balls for children. KKAC, Inc purchased and began using (placed in service) a piece of equipment to help the company make the balls on MAY 1, 2020. The equipment cost $108,000 to purchase, $2,000 for delivery, and $5,000 for installation. At the time of purchase, KKAC estimates this equipment will be used for 5 years and have a salvage value of $15,000. KKAC expects to make 500,000 playground balls in total with this equipment. SALE OF ASSET Continued Using the SAME ASSET as before... Suppose KKAC, Inc sells the equipment on July 31, 2023. KKAC has been using the straight line method to depreciate the equipment. Determine the journal entry needed under the following SEPARATE situations: A) journal entry if sold on July 31, 2023 for $60,000 note receivable B) journal entry if sold on July 31, 2023 for $40,000 cash Include you two journal entries on your PDF file upload