Prepare the journal entries for the following economic events. A track of land was purchased on July 1,2010 for $1,500,000. The land has 100,000 lbs. of lumber worth $1,200,000. A digger was purchased in 2010 to assist with the harvesting of the lumber for $25,000 with a twelve-year life expectancy. The land produced the following amounts of lumber 2,000 lbs. in its first year, 8,000 and 10,000 lbs. for each of the eight years following. On July 1,2010 the land was sold for $175,000. On July 1, 2020 the digger was sold for $17,000. Record journal entries for the transactions above. Use units of activity method of depreciation for the land, and straight-line method of depreciation for the vehicle. Action Plan - Use units of activity method for the natural resources Use straight line balance for the vehicle. Record the purchase of the items Calculate depreciation on the two items Calculate the gain or loss on disposal