Gunkelson Company sells equipment on September 30, 2017, for $16,900 cash. The e

Question

Gunkelson Company sells equipment on September 30, 2017, for $16,900 cash. The equipment originally cost $71,300 and as of January 1, 2017, had accumulated depreciation of $42,000. Depreciation for the first 9 months of 2017 is $5,150.

Prepare the journal entries to (a) update depreciation to September 30, 2017, and (b) record the sale of the equipment. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Explanation / Answer

A Depreciation expense 5150        Accumulated depreciation-Equipment 5150 B Cash 16900 Accumulated depreciation-Equipment 47150 Loss on disposal 7250       Equipment 71300

Related Questions

Navigate

• Browse (All)
• Browse G
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.