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Infinity Corporation purchased equipment with a 10-year useful life and zero residual value for $10,000. At the end of the fifth year, the equipment was
Infinity Corporation purchased equipment with a 10-year useful life and zero residual value for $10,000. At the end of the fifth year, the equipment was destroyed in a fire. If the equipment is not insured, the entry to record the retirement of this asset will include _______. Assume the straight-line depreciation method is used.
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a debit to Accumulated Depreciation for $5,000
a debit to Loss for $5,000
a credit to Equipment for $5,000
a credit to Equipment for $10,000
a debit to Depreciation Expense for $5,000
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