The following information is taken from the financial statements of an entity:
Property, plant and equipment $4,100,000 $3,600,000
Accumulated depreciation (1,400,000) (1,050,000)
Depreciation expense 650,000
Gain on disposal of PPE 35,000
The asset disposed of had a cost of $400,000.
Calculate (i) the cost of the new PPE purchased during the year and (ii) the proceeds on
disposal on sale of PPE.