Problem 4 On June 1, 2020, Pure Calm corporation sold some equipment that had cost $50,000, residual value of $8,000 and an estimated useful life of six years. The equipment was purchased on January 2, 2016 and was sold for $21,000. On September 1, 2020, the company discontinued using a vehicle that had a cost of $35,000, an estimated residual value of $5,000, and an estimated useful life of 5 years. The vehicle had been purchased on January 2, 2017. Required: 1. Prepare journal entries to record the sale of the equipment and the discontinued use of the vehicle. 2. Explain what will be reported on the statement of financial positions and the income statement resulting from these transactions