Question 2. Use the General Journal provided to record all the necessary entries for the disposal of the asset using double entry rules:

Wildfire Traders sold office equipment on 31/10/18 for $6,600 cash (inc. GST). Details relating to the equipment sold are as follows:

• Date purchased: 1/7/14
• Original cost (ex. GST) $9,000
• Useful life 10 years
• Residual value Nil
• Depreciation rate: 10% - Straight-line
• Depreciation has been calculated and recorded in the accounting records on 30^th June each year and was last recorded on 30/6/18.

  Required:

  Prepare all general journal entries necessary to record the disposal of the asset.