Sale of equipment

useful life of ten years and an estimated residual value of $$730.$

a$.$ What was the depreciation for the first year?

$

b$.$ Assuming the equipment was sold at the end of year $2$ for $$8,670,$ determine the gain or loss on the sale of the equipment.

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Book value is the asset cost minus accumulated depreciation. In the first year, the balance in the accumulated depreciation account is zero.

the equipment was sold for a gain.

c$.$ Journalize the entry on December $31$ to record the sale. If an amount box does not require an entry, leave it blank.

December $31$

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