Instructions

Equipment acquired on January $8$ at a cost of $$136,150$ has an estimated useful life of $15$ years, has an estimated residual value of $$8,050,$ and is depreciated by the straight$-$line method

a$.$ What was the book value of the equipment at December $31$ the end of the fifth year?

b$.$ Assuming that the equipment was sold on April $1$ of the sixth year for $$84,635,$ journalize the entries to record $(1)$ depreciation for the $3$ months

until the sale date and $(2)$ the sale of the equipment.

First Question

a$.$ What was the book value of the equipment at December $31$ the end of the fifth year?

$

General Journal

b$.$ Assuming that the equipment was sold on April $1$ of the sixth year for $$84,635,$ journalize the entries to record the following:

General Journal instructions

Depreciation for the $3$ months until the sale date.