Equipment acquired on January 8 at a cost of $177,240 has an estimated useful life of 19 years, has an estimated residual value of $7,000, and is depreciated by the straight-line method.

b. Assume that the equipment was sold on April 1 of the fifth year for $133,780.

1. Journalize the entry to record depreciation for the three months until the sale date. If an amount box does not require an entry, leave it blank. Round your answers to the nearest whole dollar if required.

Deprecation expense- equipment

accumulated deprecation- equipment

2. Journalize the entry to record the sale of the equipment. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations.

cash

accumulated deprecation- equipment

loss on sale of equipment

equipment