Kchat purchased equipment that was installed and ready for use at the beginning of January 2025 for a total cost of $1,275,000. The salvage value was estimated at $219,000. The machinery is depreciated over five years using the straight-line method. At December 31, 2027, the undiscounted expected future net cash flows were $505,000 and the discounted expected net cash flows were $454,500

Assume that Blossom did not use the asset in 2028 and listed it for sale. At 12/31/28, the asset had a fair value of $505,000 and a disposal cost of $13,000. Prepare any journal entry needed at that date with regard to the asset.