QUESTION 17 26 points Save Answer On January 1, 2020, ABC Corp. purchases a tractor for $86,000. They pay an import tax of $4,000 to import the tractor from Brazil. In order to use the tractor, they have to perform $10,000 of updates and repairs so that the tractor will work for its stated purpose. ABC Corp is very proud of its new tractor, and purchases a $20,000 advertising campaign on social media to show off their new equipment. They pay a $5,000 license fee that is good for 2 years to operate the tractor in Connecticut. The tractor has a useful life of 5 years. ABC Corp decides to use the straight-line depreciation method to depreciate the tractor. At the end of its useful life, ABC Corp predicts that there will not be any salvage value. Three and a half years after they purchase the tractor, on June 30, 2023, ABC Corp. sells the tractor. 1) What is the cost of the tractor? 2) Show the first three years of journal entries related to the depreciation of the tractor. 3) Make the June 30, 2023 adjusting entry to capture depreciation from January 1, 2023 to June 30, 2023 4) Make the journal entry to show the sale of the tractor assuming a sales price of $5,000. 5) Make the journal entry to show the sale of the tractor assuming a sales price of $100,000 Label your answers clearly. Show your work to receive partial credit. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). U Paragraph Arial 10pt :- A IX 46 Q iii xX2 & - [+ v T 19 X + Em {:} 7 #