Mango Republic Corporation purchased equipment at the beginning of 2018 at a cost of $60,000. The equipment had an estimated life of 5 years and an estimated residual value of $5,000. On January 1, 2020, the company made major improvements of $3,000 to the equipment that extended its life two more years. (Starting with 2020, the equipment has a remaining life of 5 years.) The salvage value remained the same. The company uses the straight-line depreciation method. a. Compute the book value of the equipment as of the end of 2019. b. How much is depreciation expense for 2020? c. After recording depreciation for 2020, Mango sells the equipment for $20,000 cash. What journal entry should Mango record?