Exercise $8-17($Algo$)$ Disposal of assets LO P$2$

Diaz Company owns a machine that cost $$126,200$ and has accumulated depreciation of $$94,000.$ Prepare the entry to record the disposal of the machine on January $1$ in each separate situation.

The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return.

Diaz sold the machine for $$17,300$ cash.

Diaz sold the machine for $$32,200$ cash.

Diaz sold the machine for $$41,700$ cash.

Journal entry worksheet

$1$

$2$

$3$

$4$

fes

Record the disposal of the machine receiving nothing in return.

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[$January $01,$Accumulated depreciation$-$Machine,$2,,],[,$Machine,,,$],[,$Gain on exchange of assets,,,$],[,,,,],[,,,,],[,,,,]]$