Wildhorse's Repair Service uses the straight-line method of depreciation. The company's fiscal year-end is December 31 . The following transactions and events occurred during the first three years. 2021 July 1 Purchased equipment from the Equipment Center for $5,300 cash plus sales tax of $520, and shipping costs of $420 Nov. 3 Incurred ordinary repairs on computer of $410 Dec. 31 Recorded 2021 depreciation on the basis of a four-year life and estimated salvage value of $600. 2022 Dec. 31 Recorded 2022 depreciation. 2023 Jan. 1 Paid $2,800 for a major upgrade of the equipment. This expenditure is expected to increase the operating efficiency and capacity of the equipment. Prepare the necessary entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem.) Prepare the necessary entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter of for the amounts. Record journal entries in the order presentedin the problem.)