Instructions Equipment acquired on January 6 at a cost of $360,550. has an estimated useful life of 12 years and an estimated residual value of $89,910 A. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation? B. What was the book value of the equipment on January 1 of Year 4? C. Assuming that the equipment was sold on January 3 of Year 4 for $272,570. joumalize the entry to record the sale. Refer to the Chart of Accounts for exact wording of account tities D. Assuming that the equipment had been sold on January 3 of Year 4 for $303.490 instead of 5272,570. joumalize the entry to record the sale. Refer to the Chart of Accounts for exact wording of account tities. Chart of Accounts ASSETS REVENUE 110 Cash 410 Sales 111 Petty Cash 112 Accounts Receivable 610 Interest Revenue 620 Gain on Sale of Delivery Truck 621 Gain on Sale of Equipment 114 Interest Receivable 115 Notes Receivable 116 Merchandise Inventory 117 Supplies EXPENSES 510 Cost of Merchandise Sold 520 Salaries Expense 119 Prepaid Insurance 120 Land 521 Advertising Expense 522 Depreciation Expense-Delivery Truck 123 Delivery Truck 124 Accumulated Depreciation-Delivery Truck 125 Equipment 523 Delivery Expense 524 Repairs and Maintenance Expense 120 Accumulated Depreciation Equipment 529 Selling Expenses 130 Mineral Rights 531 Rent Expense 131 Accumulated Depletion 532 Depreciation Expense-Equipment 132 Goodwill 533 Depletion Expense 133 Patents 534 Amortization Expense-Patents 535 Insurance Expense LIABILITIES 536 Supplies Expense 210 Accounts Payable 211 Salaries Payable 213 Sales Tax Payable 214 Interest Payable 215 Notes Payable 539 Miscellaneous Expense 710 Interest Expense 720 Loss on Sale of Delivery Truck 721 Loss on Sale of Equipment EQUITY 310 Owner's Capital 311 Owner's Drawing First Questions A. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation? Year 1 depreciation expense 69 $ Year 2 depreciation expense $ Year 3 depreciation expense $ B. What was the book value of the equipment on January 1 of Year 4? S Journal C. Assuming that the equipment was sold on January 3 of Year 4 for S272,570, journalize the entry to record the sale. Refer to the Chart of Accounts for exact wording of account titles. PAGE 1 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST, RER DEBIT CREDIT ASSETS LIABILITIES EQUITY : 2 3 4 D. Assuming that the equipment had been sold on January 3 of Year 4 for $303.490 instead of $272,570. joumalize the entry to record the sale. Refer to the Chart of Accounts for exact wording of account tities. PAGE 1 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY