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View previous attempt 13 4 points Mercury Inc. purchased equipment in 2019 at a cost of $400,000. The equipment was expected to produce 700,000 units

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View previous attempt 13 4 points Mercury Inc. purchased equipment in 2019 at a cost of $400,000. The equipment was expected to produce 700,000 units over the next five years and have a residual value of $50,000. The equipment was sold for $210,000 part way through 2021. Actual production in each year was: 2019 = 100,000 units: 2020 - 160,000 units; 2021 = 80,000 units. Mercury uses units-of- production depreciation, and all depreciation has been recorded through the disposal date. Required: 1. Calculate the gain or loss on the sale. 2. Prepare the journal entry to record the sale, 3. Assuming that the equipment was instead sold for $245,000, calculate the gain or loss on the sale. 4. Prepare the journal entry to record the sale in requirement 3. eBook Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the gain or loss on the sale. (Do not round intermediate calculations.) Gain on sale of equipment Required 2 13 View previous attempt Mercury Inc. purchased equipment in 2019 at a cost of $400,000. The equipment was expected to produce 700,000 units over the next five years and have a residual value of $50,000. The equipment was sold for $210,000 part way through 2021. Actual production in each year was: 2019 = 100,000 units; 2020 - 160,000 units: 2021 - 80,000 units. Mercury uses units-of- production depreciation, and all depreciation has been recorded through the disposal date. Required: 1. Calculate the gain or loss on the sale. 2. Prepare the journal entry to record the sale. 3. Assuming that the equipment was instead sold for $245,000, calculate the gain or loss on the sale. 4. Prepare the journal entry to record the sale in requirement 3. 4 points ebook Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare the journal entry to record the sale. (If no entry is required for a transaction/event, select "No journal entry required in the account field. Do not round Intermediate calculations.) View transaction list View journal entry worksheet Debit No 1 Event 1 General Journal Cash Accumulated depreciation equipment Loos on sale of equipment Equipment 210,000 170,000 20.000 Required 3 >

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