On January 2, 2018, Maxwell Furniture purchased display shelving for $ 8,100 cash, expecting the shelving to remain in service for five years. Maxwell depreciated the shelving on a double-declining-balance basis, with $ 1, 800 estimated residual value. On October 31, 2019, the company sold the shelving for $ 2 ,700 cash.

On January 2 2018, Maxwell Furniture purchased display shelving for $8,100 cash, expecting the shelving to remain in service for five years. Maxwell depreciated the shelving on a double-declining-balance basis, with $1,800 estimated residual value. On October 31, 2019, the company sold the shelving for $2,700 cash. Read the requirement. Start by recording depreciation expense on the shelving for 2019. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Accounts Date Debit Credit i Requirement Oct 31 1. Record both the depreciation expense on the shelving for 2019 and its sale in October. Also show how to compute the gain or loss on the disposal of the shelving. Show how to compute the gain or loss on the disposal of the shelving. (Use a minus sign or parentheses for a loss.) 1 - Gain (Loss) on sale Print Done Now record the sale of the shelving on October 31, 2019 Now record the sale of the shelving on October 31, 2019. Journal Entry Date Accounts Debit Credit Oct 31