Record the fixed assets and depreciation

Eckan Word Processing Service uses thestraight-line method of depreciation. The company's fiscal year end is December31. The following transactions and events occurred during the first threeyears.

2X10 July1 Purchaseda computer from the Computer Center for $2,100 cash plus sales tax of $150, andshipping costs of $50.

Nov.3 Incurred ordinary repairs on computer of $140.

Dec.31 Recorded 2X10 depreciation on the basis of a four year life andestimated residual value of $500.

2X11 Dec.31 Recorded 2X11 depreciation.

2X12 Jan.1 Paid$400 for an upgrade of the computer. This expenditure is expected to increasethe operating efficiency and capacity of the computer.

EnquiredPrepare the necessary entries.