On January $1,$ Year $1,$ Prairie Enterprises purchased a parcel of land for $$28,000$ cash. At the time of purchase, the company planned to use the land for a warehouse site. In Year $3,$ Prairie Enterprises changed its plans and sold the land.

Required

Assume that the land was sold for $$29,500$ in Year $3.$

$(1)$ Show the effect of the sale on the accounting equation.

$(2)$ What amount would Prairie report on the Year $3$ income statement related to the sale of the land?

$(3)$ What amount would Prairie report on the Year $3$ statement of cash flows related to the sale of the land?

Assume that the land was sold for $$24,000$ in Year $3.$

$(1)$ Show the effect of the sale on the accounting equation.

$(2)$ What amount would Prairie report on the Year $3$ income statement related to the sale of the land?

$(3)$ What amount would Prairie report on the Year $3$ statement of cash flows related to the sale of the land?