Equipment acquired on January 3, 20Y1, at a cost of $140,000, has an estimated useful life of 5 years and an estimated residual value of $15,000. 1. What was the annual amount of depreciation for the years 2041, 2042, and 20Y3, using the straight-line method of depreciation? 2. What was the book value of the equipment on January 1, 20Y4? 3. Assuming that the equipment was sold on January 2, 20Y4, for $63,500, illustrate the effects on the accounts and financial statements of the sale. 4. Assuming that the equipment was sold on January 2, 20Y4, for $71,000 instead of $63,500 illustrate the effects on the accounts and financial statements of the sale