Headland Corporation owns machinery that cost $$25,600$ when purchased on July $1,2017.$ Depreciation has been recorded at a rate of $$3,072$ per year, resulting in a balance in accumulated depreciation of $$10,752$ at December $31,2020.$ The machinery is sold on September $1,2021,$ for $$13,440.$

Prepare journal entries to $($a$)$ update depreciation for $2021$ and $($b$)$ record the sale. $($Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

No$.$ Account Titles and Explanation

Debit

Credit

$($a$)$

$($b$)$