Disposal of an Operating Asset

On August 30, Williams Manufacturing Company decided to sell one of its fabricating machines that was 15 years old for $4,130. The machine, which originally cost $100,000, had accumulated depreciation of $97,500.

Required:

Prepare the journal entry to record the disposal of the machine. If an amount box does not require an entry, leave it blank.

Aug. 30	Accumulated Depreciation
	Cash
	Gain on Disposal of Property, Plant, and Equipment
	Equipment
	(Record disposal of equipment)