Sale of Plant Asset

Raine Company has a machine that originally cost $60,000. Depreciation has been recorded for five years using the straight-line method, with a $6,000 estimated salvage value at the end of an expected nine-year life. After recording depreciation at the end of five years, Raine sells the machine. Prepare the journal entry to record the machines sale for (Round to the nearest dollar):

a.	$37,000	cash
b.	$30,000	cash
c.	$28,000	cash

General Journal
Date	Description	Debit	Credit
a.	Accumulated Depreciation - EquipmentCashEquipmentGain on Sale of Plant AssetsLoss on Sale of Plant AssetsNet Loss
	Accumulated Depreciation - Equipment
	Accumulated Depreciation - EquipmentCashEquipmentGain on Sale of Plant AssetsLoss on Sale of Plant AssetsNet Loss
	Gain on Sale of Plant Assets
	To record sale of machine.
b.	Cash
	Accumulated Depreciation - EquipmentCashEquipmentGain on Sale of Plant AssetsLoss on Sale of Plant AssetsNet Loss
	Accumulated Depreciation - EquipmentCashEquipmentGain on Sale of Plant AssetsLoss on Sale of Plant AssetsNet Loss
	To record sale of machine.
c.	Cash
	Accumulated Depreciation - EquipmentCashEquipmentGain on Sale of Plant AssetsLoss on Sale of Plant AssetsNet Loss
	Accumulated Depreciation - Equipment
	Accumulated Depreciation - EquipmentCashEquipmentGain on Sale of Plant AssetsLoss on Sale of Plant AssetsNet Loss
	To record sale of machine.