On January 1, 2015 Vasquez Manufacturing Company purchased a vehicle for $34,500. At the time of the purchase the vehicle had an estimated useful life of 6 years and a salvage value of $750. The vehicle was disposed of on December 1, 2019.

a. If Vasquez was using the straight-line method of depreciation, what was the book value of the vehicle at the time of disposal?

b. Write the journal entry to record the disposal of vehicle assuming it was sold for $5,000.