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Machinery that cost $222,000 on 1 January 20x1 was sold for $94.500 on 30 June 20x6. It was being depreciated over a 10-year life by

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Machinery that cost $222,000 on 1 January 20x1 was sold for $94.500 on 30 June 20x6. It was being depreciated over a 10-year life by the straight-line method, assuming its residual value would be $27,000 A building that cost $2,000,000, residual value $130,000, was being depreciated over 20 years by the straight-line method. At the beginning of 20X6, when the structure was 8 years old, an additional wing component was constructed at a cost of $725,000. The estimated life of the wing considered separately was 15 years, and its residual value was expected to be $42,500 The accounting period ends 31 December Required: 1. Give all required entries to record: a Sale of the equipment, including depreciation to the date of sale b. The addition to the building: cash was paid c Depreciation on the building and its addition after the latter has been in use for one year. (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Do not round intermediate calculations.)

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