Please solve journal entry regarding January 5th transaction

January 5th Traded in all of used computer equipment with a fair value of $13,200,000., and received in exchange new computer equipment (useful life: 10 years, salvage value: 1,947,040) with a fair value of $8,000,000 plus cash of $500,000. Double-declining method will be used

Comprehensive) - Project 2 (Fall 2020)(1).pdf X C Schaefer Engineering in Dec The Works operates as a merchandiser. The company uses the FIFO method of assigning costs to inventory and cost of goods sold with perpetual inventory system. The inventory balance of $3,969,000 is composed of 90,000 units purchased on December 22nd for $44.10 a unit. The company uses the allowance method to estimate bad debts expense, and the effective interest method to amortize bond premiums and discounts mostly. For depreciation, the company uses a straight-line method (or double-declining) for computer equipment and a double-declining method for buildings. The company buys debt securities, and has them available for sale in years. No investments were held by the company on December 31, 2020. For bonds, interest rate is 12%. The company's common stock has a $1 par value. The trial balance for The Works as of December 31" 2020 was as follows: The Works Trial Balance as of December 31, 2020 Cr. Dr. 64,042,000 40,000,000 800.000 250,000 3.969,000 1,350,000 3.500.000 25,000,000 200,000 100,000,000 22.131.200 35.000.000 4.800.000 22.500.000 Cash Account Receivable (AR) Allowance for Doubtful Accounts Office Supplies Inventory Prepaid Insurance Deferred Tax Asset Computer Equipment Accumulated Depreciation - Computer Equipment Buildings Accumulated Depreciation - Buildings Land Plan Assets Account Payable Note Payable Deferred Tax Lability Bonds Payable Premium Discount on Bonds Payable Projeeted Bentit Obligation Common Stock Paid-in Capital CS Retained Earnings Dividends Sales Sales Dscount Cost of Goods Sold Bad Debt Expense Office Supplies Expense Insuranee Expense Interest Expense Depreciation Expense - Computer Equptent Depreciation Expense - Buiklines Gauviors on Disposal of Plant Asset Total 270.000 5.000.000 4.800,000 25.000.000 145.000.000 52.209.800 21271.000 277211 000