Exercise 10-10

Pryce Company owns equipment that cost $60,000when purchased on January 1, 2014. It has been depreciated using the straight-line method based on estimated salvage value of $3,000and an estimated useful life of5years.

Prepare Pryce Company's journal entries to record the sale of the equipment in these four independent situations.(Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g.125. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

(a)Sold for $29,200 on January 1, 2017.(b)Sold for $29,200 on May 1, 2017.(c)Sold for $10,000 on January 1, 2017.(d)Sold for $10,000 on October 1, 2017.

No.

Account Titles and Explanation

Debit Credit

(a) _____________________________ ___________ ___________

________________________________ ___________ ___________

________________________________ ----------------- ____________

________________________________ _________ __________

(b) ________________________________ ___________ ___________

___________________________________ ___________ ___________

(To record depreciation)

(c) ________________________________ _____________ ___________

__________________________________ _____________ ___________

___________________________________ ____________ ___________

__________________________________ ____________ ____________

(To record sale of equipment)

(d) _________________________________ _____________ ___________

___________________________________ _____________ ____________

(To record depreciation)

___________________________________ _____________ ______________

___________________________________ ______________ _______________

___________________________________ ______________ _______________

___________________________________ ______________ _______________

(To record sale of equipment)