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Equipment acquired on January 8 at a cost of $113,950 has an estimated useful life of 12 years, has an estimated residual yalue of $7,150,

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Equipment acquired on January 8 at a cost of $113,950 has an estimated useful life of 12 years, has an estimated residual yalue of $7,150, and is deprociated by the straightsine method. a. What was the book value of the equipment at December 31 the end of the fith year? b. Assuming that the equipment was sold on April 1 of the sixth year for $60,755, foumalize the entries to record (1) depreciation for the 3 months und the sale dare and (2) the save of the equipment. Chart of Accounts CHART OF ACCOUNTS General Ledger ASSETS REVENUE 110 Cash 410 Sales 111 Petty Cash 610 Interest Revenue 112 Accounts Receivable 620 Gain on Sale of Delivery Truck 114 Interest Receivable 621 Gain on Sale of Equipment 115 Notes Receivable 116 Merchandise Inventory EXPENSES 510 Cost of Merchandise Sold 117 Supplies 119 Prepaid Insurance 520 Salaries Expense 521 Advertising Expense 120 Land 123 Delivery Truck 522 Depreciation Expense-Delivery Truck 124 Accumulated Depreciation-Delivery Truck 523 Delivery Expense 524 Repairs and Maintenance Expense 125 Equipment 126 Accumulated Depreciation-Equipment 529 Selling Expenses Chart of Accounts 130 Mineral Rights 531 Rent Expense 131 Accumulated Depletion 532 Depreciation Expense-Equipment 533 Depletion Expense 132 Goodwill 133 Patents 534 Amortization Expense-Patents 535 Insurance Expense LIABILITIES 536 Supplies Expense 210 Accounts Payable 539 Miscellaneous Expense 211 Salaries Payable 710 Interest Expense 213 Sales Tax Payable 720 Loss on Sale of Delivery Truck 214 Interest Payable 721 Loss on Sale of Equipment 215 Notes Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends a. What was the book value of the equipment at December 31 the end of the fifth year? b. Assuming that the equipment was sold on April 1 of the soith year for $60,755, joumalize the entries to rocord the following: General joumalinstructions 1. Depreciation for the 3 months unta- the sale date. 2. The sale of the equipment

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