On January 1, 2021, Mike inc purchased equipment having a cost of $ 165,000 cash. Mike estimates the equipment has a useful life of 10 years and a salvage value of $35,000. Mike depreciates the equipment using the double-declining balance method.

On January 1 2023, Mike sold the equipment for $117,500 cash.

Required:

A) determine 2021's depreciation expense on the equipment

B) determine 2022 depreciation expense on the equipment

C) record 2022's depreciation expense using the horizontal financial statements model. Be sure to identify the specific accounts affected by the transaction

D) Record the January 1, 2023 sale of the equipment using the horizontal financial statements model. Be sure to identify the specific accounts affected by the transaction