On March 31, 2021, the Herzog Company purchased a factory complete with vehicles and equipment. The allocation of the total purchase price of $940,000 to the various types of assets along with estimated useful lives and residual values are as follows:

AssetCostEstimated Residual ValueEstimated Useful

Life (in years)Land$130,000N/AN/ABuilding440,000none25Equipment240,00012% of cost8Vehicles130,000$13,00010Total$940,000

On June 29, 2022, equipmentincluded in the March 31, 2021, purchase that cost $94,000 was sold for $74,000. Herzog uses the straight-line depreciation method for building and equipmentand the double-declining-balance method for vehicles. Partial-year depreciation is calculated based on the number of months an asset is in service.

Required:

1.Compute depreciation expense on the building, equipment, and vehiclesfor 2021.

2.Prepare the journal entries to record the depreciation on the equipment sold on June 29, 2022, and the sale of equipment.

3.Compute depreciation expense on the building, remaining equipment, and vehicles for 2022.

Depreciation expense jurnal entry. cash, Accumulated depreciation equipment , loss on sale of equioemnt . and equipment.