Respond to the requirements in each situation. Click here to view factor tables. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Your answer is correct. On January 1, 2020, Flounder Inc. sold computer equipment to Shamrock Co. The sales price of the equipment was $515,000 and its carrying amount is $398,000. Record any journal entries necessary for Flounder from the sale of the computer equipment in 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Debit Credit Date Account Titles and Explanation 1/1/20 TCash 515000 T Gain on Disposal of Foul Gain on Dis 1170001 Equipment 3980001 Click if you would like to Show Work for this question: Open Show Work Use the information from part a. Assume that, on the same day the sale occurred, Flounder enters into an agreement to lease the equipment from Shamrock for 10 years with annual lease payments of $66,694.90 at the end of each year, beginning on December 31, 2020. If Flounder has an incremental borrowing rate of 5% and the equipment has an economic useful life of 10 years, record any journal entries necessary for Flounder from the sale and leaseback of computer equipment in 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round answers to 2 decimal places, e.g. 5,275.25. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit 1/1/20 Cash 515,000 Notes Payable 515,000 12/31/20 ) Notes Payable 40,944.90 Interest Expense 25,750.00 Cash 66,694.90 Use the information from part b. Now, instead of 10 years, the lease term is only 3 years with annual lease payments of $66,694.90 at the beginning of each year. Record any journal entries necessary for Flounder from the sale and leaseback of computer equipment in 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round answers to 2 decimal places, e.g. 5,275.25. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit (To record sale of equipment) (To record the lease) (To record lease payment) Click if you would like to Show Work for this question: Open Show Work