Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $37,500

Subject:AccountingPrice:2.87 Bought7

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Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $37,500. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of ten years and an estimated residual value of $730.

a. What was the depreciation for the first year? $

b. Assuming the equipment was sold at the end of year 2 for $9,230, determine the gain or loss on the sale of the equipment. $

C. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.