On April 1, 2020, Elway Inc purchases a piece of equipment f…
Questions
On April 1, 2020, Elwаy Inc purchаses а piece оf equipment fоr $55,000. The equipment has a $3,000 salvage value and a useful life оf 4 years or 130,000 units of production. Elway uses the straight line method of depreciation. On April 1, 2023, Elway sells the equipment for $15,000 cash. Prepare the journal entry to record the disposal of the equipment. [dr] Cash [amount1] [dr] Accumulated Depreciation [amount2] [dr] [account3] [amount3] [cr] Equipment [amount4]