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On May 31, 2018, Perfect Landscapes discarded equipment that had a cost of $29,400. Accumulated Depreciation as of December 31, 2017, was $27,000. Assume annual
On May 31, 2018, Perfect Landscapes discarded equipment that had a cost of $29,400. Accumulated Depreciation as of December 31, 2017, was $27,000. Assume annual depreciation on the equipment is $2,400. Journalize the partial-year depreciation expense and disposal of the equipment. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Journalize the partial-year depreciation expense. Date Accounts and Explanation Debit Credit May 31 1,000 Depreciation Expense-Equipment Accumulated DepreciationEquipment 1,000 To record depreciation on equipment. Journalize the disposal of the equipment. Calculate any gain or loss on the disposal of the equipment. (Enter a "0" for items with a zero value. Enter a loss with a minus sign or parentheses.) Date Accounts and Explanation Debit Credit $ 0 Market value of assets received Less: Book value of asset disposed of May 31 Cost $ 29,400 (28,000) 1,400 Less: Accumulated Depreciation $ Gain or (Loss) (1,400)
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