Question: 2 Prepare the journal entries for the following transactions. a) Mr. A traded in an old truck for a new one. The old truck had cost $26,000, and its accumulated depreciation amounted to $18,000. The list price of the new truck was $39,000, paid by A. He includes trucks in its Vehicles account. Prepare journal entries to record the disposal transactions. Assume that depreciation expense on each asset has been recorded up to the date of disposal. b) Finx Company purchased a piece of equipment for $17,000 and depreciated it for three years over a five-year estimated life with an expected residual value at the end of five years of $2,000. At the end of the third year, Alex decided to upgrade to equipment with increased capacity and sold the original piece of equipment for $10,200