During 2018, Lora Company completed the following transactions: (Click the icon to view transactions.) Record the transactions in the journal of Lora Company. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Jan. 1: Traded in old office equipment with book value of $30,000 (cost of $96,000 and accumulated depreciation of $66,000) for new equipment. Lora also paid $65,000 in cash. Fair value of new equipment is $105,000. Assume the exchange had commercial substance. (Record a single compound journal entry.) Date Accounts and Explanation Debit Credit Jan. 1 Apr. 1: Sold equipment that cost $30,000 (accumulated depreciation of $18,000 through December 31 of the preceding year). Lora received $7,200 cash from the sale of the equipment. Depreciation is computed on a straight-line basis. The equipment has a five-year useful life and a residual value of $0. Before we record the sale of the equipment, we must record depreciation on the equipment through April 1, 2018. Date Accounts and Explanation Debit Credit Apr. 1 Now record the sale of the equipment on April 1. Date Accounts and Explanation Debit Credit Apr. 1 Dec. 31: Recorded depreciation on the office equipment. Office equipment is depreciated using the double-declining-balance method over four years with a $10,000 residual value. Date Accounts and Explanation Debit Credit Dec. 31