This is the consolidated journal entries.

How do we come to a accumulated depreciation of 20,000 and its corresponding entry?

2 On 1 July 20X6 Trunk Ltd sold an item of equipment to Tree Ltd for $210000 in cash. The original cost of the equipment was $240000. Trunk Ltd had adopted an accounting policy whereby the equipment was being depreciated on a straight line basis over its useful life of four years. The carrying amount of the equipment in Trunk Ltd financial statements at the date of sale was $180000. Subsequent to the transfer, Tree Ltd depreciated the equipment on a straight line basis over its remaining useful life of three years