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On December 31, 2020, Sunland Inc. has a machine with a book value of $1,034,000. The original cost and related accumulated depreciation at this date

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On December 31, 2020, Sunland Inc. has a machine with a book value of $1,034,000. The original cost and related accumulated depreciation at this date are as follows. $1,430,000 Machine Less: Accumulated depreciation 396,000 Book value $1,034,000 Depreciation is computed at $66,000 per year on a straight-line basis. a Presented below is a set of independent situations. For each independent situation indicate the journal entry to be made to record the transaction. Make sure that depreciation entries are made to update the book value of the machine prior to its disposal. A fire completely destroys the machine on August 31, 2021. An insurance settlement of $473,000 was received for this casualty. Assume the settlement was received immediately. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Debit Credit Account Titles and Explanation Depreciation Expense 44000 Accumulated Depreciation Machinery (To record current depreciation.) Cash 473000 Accumulated Depreciation Machinery 440000 Loss on Disposal of Machinery Machinery On April 1, 2021, Sunland sold the machine for $1,144,000 to Yoakam Company. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Debit Date Account Titles and Explanation April 1, 2021 (To record current depreciation.) April 1, 2021 10 (To record sale of the machine.) On July 31, 2021, the company donated this machine to the Mountain King City Council. The fair value of the machine at the time of the donation was estimated to be $1,210,000. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit July 31, 2021 [ (To record current depreciation.) July 31, 2021 (To record donation of the machine.)

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