P10-29A Gretta Chun Associates surveys American eating habits. The company's accounts include Land, Buildings, Office Equipment, and Communication Equipment, with a separate accumulated depreciation account for each asset. During 2007, Chun completed the following transactions: Jan. 1 Traded in old office equipment with book value of $11,000 (cost of $96,000 and accumulated depreciation of $85,000) for new equipment. Chun also paid $19,000 in cash. (p. 523) Apr 1 Acquired land and communication equipment in a group purchase. Total cost was $80,000 paid in cash. An independent appraisal valued the land at $90,000 and the communication equipment at $10,000. (p. 508) Sep. 1 Sold a building that had cost $128,000 (accumulated depreciation of $100,000 through December 31 of the preceding year). Chun received $60,000 cash from the sale co the building. (p. 523) Depreciation is computed on a straight-line basis. The building has a 30-year useful life and a residual value of $20,000. (pp. 512-520) Dec. 31 Recorded depreciations as follows: Communication equipment is depreciated by the straight-line method over a 5-year life with zero residual value. (pp. 512-520) Office equipment is depreciated straight-line over 6 years with $3,000 residual value. (pp. 512-520)