Prepare journal entries for the following events (or transactions):

• (a) A company sells a piece of equipment for $26,450 (including GST), which is the same amount as the carrying amount. Note that the equipments cost was $65,000 and the equipments accumulated depreciation is $42,000. The buyer pays cash for the equipment. There is no gain or loss on sale.

• (b) Exactly five months ago, a company purchased and paid for software rights (or licences) in advance of use. These rights cost $10,350 (including GST) and were recognised as a prepayment. Now, at the end of the accounting period, the companys accountant wishes to recognise that part of these rights have been consumed (or used).

• (c) A company receives full payment from a customer who had bought (but did not paid for) goods last month. The price of the goods was $17,250 (including GST).

• (d) A few years ago, a company borrowed money from a bank. Now, the company makes a payment of $8,000 to the bank. This payment includes interest expense of $2,500, while the remainder is a reduction in the amount owed to the bank.

• (e) Exactly eight months ago, a company bought a machine for $34,500 (including GST). The company expects the machine has a useful life of 5 years and no residual value. This means the annual depreciation expense is $6,000. Now, at the end of the accounting period, the companys accountant will record depreciation for the machine.

Note that dates, reference numbers and narrations are not required. Instead of a date, label the journal entries as (a), (b), (c), etc.