On January 1, 2016, the Mills Car Repair Company acquired equipment at a cost of $55,000. At that time, the equipment was estimated to have a residual value of $5,000 at the end of an estimated five year service life. During 2016 and 2017, the company recorded straight-line depreciation on the equipment. Required: Prepare all the journal entries for 2018 relating to the equipment for each of the following Assume that the company switched to sum-of-the-years'-digits depreciation at the beginning of Assume, instead, that at the beginning of 2018, the equipment is determined to have a five-year ndependent situations (ignoring income taxes) 2018 with a new estimated remaining life of four years. remaining service life. Straight-line depreciation will still be used