QUESTION 1 (20) Peterson Company exchanged an old equipment on December 31,2020 with extra cash of $6,300 for a new equipment. The new equipment had a market value of $16,000, cost of $45,000 and accumulated depreciation of $22,000 Required: Prepare the journal entries required to record the exhange of the equipment of Peterson Company on December 31, 2020. Date Account DR CR (B) On January 1, 2018, Burnaby Corporation purchased a machine for $150,000. Management estimated that the machine would be used for 5 years and would then have an $20,000 residual value. Depreciation was to be charged on a straight-line basis. A full year's depreciation was charged on December, 2018, through to December 31, 2020, and on January 1, 2021, the machine was retired from service and was sold for $20,000. Required: Prepare the journal entries required to record the sale of the machine by Burnaby Corporation on January 1, 2021. Date Account DR CR