The property, plant, and equipment section of the Jasper Companys December 31, 2017, balance sheet contained the following:

Property, plant, and equipment:

Land $128,000

Building$ 1,248,000

Less: Accumulated depreciation (240,000) 1,008,000

Equipment 194,200

Less: Accumulated depreciation ? ?

Total property, plant, and equipment ?

The land and building were purchased at the beginning of 2013. Straight-line depreciation is used and a residual value of $48,000 for the building is anticipated.

The equipment is comprised of the following three machines:

Machine Cost Date Acquired Residual Value Life in Years

101 $64,600 1/1/15 $7,800 8

102 97,000 6/30/16 8,800 9

103 32,600 9/1/17 3,800 8

The straight-line method is used to determine depreciation on the equipment. On March 31, 2018, Machine 102 was sold for $67,000. Early in 2018, the useful life of machine 101 was revised to five years in total, and the residual value was revised to zero.

Required:

1. Calculate the accumulated depreciation on the equipment at December 31, 2017.

2. Prepare the journal entry to record 2018 depreciation on machine 102 up to the date of sale.

3. Prepare an schedule to calculate the gain or loss on the sale of machine 102.

4. Prepare the journal entry for the sale of machine 102.

5. Prepare the 2018 year-end journal entries to record depreciation on the building and equipment.

Accumulated Depreciation:

Record the depreciation on Machine 102 through date of sale:

Loss on sale of machine 102:

Record sale of equipment:

Record the depreciation on the building:

Record depreciation on the equipment: