Rayya Co. purchases a machine for $168,000 on January 1, 2019. Straight-line depreciation is taken each year for four years assuming a seven-year life and no salvage value. The machine is sold on July 1, 2023, during its fifth year of service. Prepare entries to record the partial years depreciation on July 1, 2023, and to record the sale under each seperate situation. (1) The machine is sold for $72,000 cash. (2) The machine is sold for $57,600 cash.

Exercise 10-17 Partial-year depreciation; disposal of plant asset LO P2 Rayya Co. purchases a machine for $168,000 on January 1, 2019. Straight-line depreciation is taken each year for four years assuming a seven-year life and no salvage value. The machine is sold on July 1, 2023, during its fifth year of service. Prepare entries to record the partial year's depreciation on July 1, 2023, and to record the sale under each seperate situation. (1) The machine is sold for $72,000 cash. (2) The machine is sold for $57,600 cash. View transaction list 1 Record the depreciation expense as of July 1, 2023. 2 Record the sale of the machinery for $72,000 cash. 3 Record the machine sold for $57,600 cash. Credit Note : = journal entry has been entered Record entry Clear entry View general journal