Requlred Information

Problem $10-6$A $($Static$)$ Disposal of plant assets LO C$1,$ P$1,$ P$2$

$[$The following information applles to the questions displayed below.$]$

Onslow Company purchased a used machine for $$178,000$ cash on January $2.$ On January $3,$ Onslow pald $$2,840$ to

wire electricity to the machine. Onslow paid an additional $$1,160$ on January $4$ to secure the machine for operation.

The machine will be used for six years and have a $$14,000$ salvage value. Straight$-$line depreciation is used. On

December $31,$ at the end of its fifth year in operations, it is disposed of$.$

Problem $10-6$A $($Static$)$ Part $3$

Prepare journal entries to record the machine's disposal under each separate situation: $($d$)$ It is sold for $$15,000$ cash and $($b$)$ it is sold

for $$50,000$ cash.

Journal entry worksheet

$2$

Record the sale of the used machine for $$15,000$ cash.

Note: Enter debits before credits.