Disposal of Fixed Asset

Equipment acquired on January 6 at a cost of $434,700 has an estimated useful life of 9 years and an estimated residual value of $56,700.

a. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation?

Year	Depreciation Expense
Year 1	$fill in the blank
Year 2	$fill in the blank
Year 3	$fill in the blank

b. What was the book value of the equipment on January 1 of Year 4? $fill in the blank c434c4005fdffc1_4

c. Assuming that the equipment was sold on January 3 of Year 4 for $293,300, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.

Jan. 3			fill in the blank
		fill in the blank	fill in the blank
		fill in the blank	fill in the blank
		fill in the blank	fill in the blank

d. Assuming that the equipment had been sold on January 3 of Year 4 for $314,900 instead of $293,300, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.