Exercise 11-39 (Algo) Retirement and replacement depreciation (Appendix 11B) Cadillac Construction Company uses the retirement method to determine depreciation on its small tools. During 2019, the first year of the company's operations, tools were purchased at a cost of $10,500. In 2021, tools originally costing $4,000 were sold for $750 and replaced with new tools costing $4,500. Required: 1. Prepare journal entries to record each of the above transactions 2. Prepare Journal entries to record each of the above transactlons, assuming that the company uses the replacement depreciation method instead of the retirement method. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare Journal entries to record each of the above transactions. (It no entry is required for a transaction/event, select "No journal entry required in the first account field.) View transaction at Journal entry worksheet 2 3 Record the purchase of small tools for $10,500 in cash using the retirement depreciation method Noel Enter debits before credits Date 2019 General Journal Debit Credit