Problem 9 (Sale of fixed assets, 5 Points) Metal recycling equipment acquired on January 1, 1997, at a cost of $87,500, has an annual depreciation of $10,250, and is depreciated by the straight-line method. Instructions a. What was the book value of the equipment at December 31, 2000, the end of the fiscal year? b. Assuming that the equipment was sold on July 1, 2001, for $40,000, journalize the entries to record (1) depreciation at July 1, 2001, and (2) the sale of the equipment. Problem 10 (Disposal of Assets, 12 Points) Equipment acquired on January 3, 1997 at a cost of $51,500, has an annual depreciation of $12,000, and is depreciated by the straight-line method. Instructions a. What was the book value of the equipment on January 1, 2000? b. Assuming that the equipment was sold on January 2, 2000, for $13,000, journalize the entry to record the sale. c. Assuming that the equipment was sold on January 2, 2000, for $17,000 instead of $13,000, journalize the entry to record the sale