Question - Pryce Company owns equipment that cost $60,600 when purchased on January 1, 2011. It has been depreciated using the straight-line method based on estimated salvage value of $8,500 and an estimated useful life of 5 years.
Prepare Pryce Company's journal entries to record the sale of the equipment in these four independent situations.
(a) Sold for $32,260 on January 1, 2014.
(b) Sold for $32,260 on May 1, 2014.
(c) Sold for $10,140 on January 1, 2014.
(d) Sold for $10,140 on October 1, 2014.