JDI Ltd. owned several manufacturing facilities. On September 15 of the current year, JDI decided to sell one of its manufacturing buildings. The building had cost $7,920,000 when originally purchased 5 years ago, and had been depreciated using the straight-line method with no residual value. JDI estimated that the building had a 30 year life when purchased.

The journal entry to record the sale of the building on JDI's books, assuming 5 years of depreciation has already been recorded in the accounts the building was sold for $6,750,000 cash.

Prepare the journal entry to record the sale of the building on JDI's books, assuming 5 years of depreciation has already been recorded in the accounts the building was sold for $6,600,000 cash.

Journal Entry: Date Accounts Titles and Explanation Debit Credit Sept. 15 Cash 6750000 Accumulated Depreciation 1320000 Building 7920000 Gain on sale of Building 150000