Pronghorn Corp's unadjusted trial balance at December 1, 2022, is presented below. The following transactions occurred during December. Dec. 2 Purchased equipment for $16,300, plus sales taxes of $700 (paid in cash). 2 Pronghorn sold for $3,100 equipment which originally cost $4,900. Accumulated depreciation on this equipment at January 1,2022 , was $2,000;2022 depreciation prior to the sale of equipment was $875. 15 Pronghorn sold for $4,500 on account inventory that cost $3,700. 23 Salaries and wages of $6,400 were paid for December. Adjustment data: 1. Pronghorn estimates that uncollectible accounts receivable at year-end are $4,100. 2. The note receivable is a 1-year, 8% note dated April 1, 2022. No interest has been recorded. 3. The balance in prepaid insurance represents payment of a $3,600,6-month premium on September 1,2022. 4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $33,000. 5. The equipment owned prior to this year is being depreciated using the straight-line method over 5 years. The salvage value is 10% of cost. 6. The equipment purchased on December 2, 2022, is being depreciated using the straight-line method over 5 years, with a salvage value of $2,000. 7. The patent was acquired on January 1, 2022, and has a useful life of 9 years from that date. 8. Unpaid salaries at December 31,2022 , total $2,100. 9. Both the short-term and long-term notes payable are dated January 1,2022 , and carry a 10% interest rate. All interest is payable in the next 12 months. 10 Income tax expense was $14,000. It was unpaid at December 31. Equipment 17000 Depreciation Expense 875 Accumulated Depreciation-Equipment (To record depreciation expense on equipment.) Cash 3100 Accumulated Depreciation-Equipment (To record sale of equipment.) Equipment (To record sales revenue.) (To record cost of goods sold.) Dec.23v