Exercise 11-10 (Algo) Disposal of property, plant, and equipment [LO11-2] Mercury Incorporated purchased equipment in 2022 at a cost of $157,000. The equipment was expected to produce 300,000 units over the next five years and have a residual value of $37,000. The equipment was sold for $81,800 part way through 2024 . Actual production in each year was: 2022=42,000 units; 2023=67,000 units; 2024=34,000 units. Mercury uses units-of-production depreciation, and all depreciation has been recorded through the disposal date. Required: 1. Calculate the gain or loss on the sale. 2. Prepare the journal entry to record the sale. 3. Assuming that the equipment was instead sold for $102,800, calculate the gain or loss on the sale. 4. Prepare the journal entry to record the sale in requirement 3. Complete this question by entering your answers in the tabs below. Calculate the gain or loss on the sale. Note: Do not round intermediate calculations. Complete this question by entering your answers in the tabs below. Prepare the journal entry to record the sale. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account fild. Do not round ntermediate calculations. Journal entry worksheet Note: Enter aebiss Derore crealts: production in each year was: 2022=42,000 in depreciation, and all depreciation has been-recorded through the disposal date. Required: 1. Calculate the gain or loss on the sale. 2. Prepare the journal entry to record the sale. 3. Assuming that the equipment was instead sold for $102,800, calculate the gain or loss on the sale. 4. Prepare the journal entry to record the sale in requirement 3. Complete this question by entering your answers in the tabs below. Assuming that the equipment was instead sold for $102,800, calculate the gain or loss on the sale. Note: Do not round intermediate calculations. 2. Prepare the journal entry to record the sale. 3. Assuming that the equipment was instead sold for 5102,800 , calculate the gain or loss on the sale. 4. Prepare the joumal entry to record the sale in requirement 3 . Complete this question by entering your answers in the tabs below. Prepare the joumal entry to record the sale in requirement 3, Note: If no entry is required for a transection/event, select "No journal entry required" in the first account field. Do not round intermedate calculations. Journal entry worksheet Notel Enter debits before crecits