P11.SB (LO 2, 3, 4, 5) AN Jivraj and Juma are accountants at Desktop Computers. Desktop Computers has not adopted the revaluation model for accounting for its property, plant, and equipment. The account- ants disagree over the following transactions that occurred during the fiscal year ended December 31, 2021: 1. Desktop purchased equipment for $60,000 at a going-out-of-business sale. The equipment was worth $75,000. Jivraj believes that the following entry should be made: Equipment Cash Gain on Fair Value Adjustment of Equipment 75,000 60,000 15,000 2. Land costing $90,000 was appraised at $215,000. Jivraj suggests the following journal entry: Land Gain on Fair Value Adjustment of Land 125,000 125,000 3. Depreciation for the year was $18,000. Since the company's profit is expected to be lower this year, Jivraj suggests deferring depreciation to a year when there is a higher profit. 4. Desktop bought a custom-made piece of equipment for $54,000. This equipment has a useful life of six years. Desktop depreciates equipment using the straight-line method. "Since the equip- ment is custom-made, it will have no resale value," Jivraj argues. "So, instead of depreciating it, it should be expensed immediately." Jivraj suggests the following entry: Miscellaneous Expense Cash 54,000 54,000