Question

on March 31, 2018, wonderful landscapes discarded equipment that had a cost of $28,900. Accumulated depreciation as of December 31, 2017, was 28,000. Assume annual depreciation on the equipment is $900. Journalize the partial year depreciation expense and disposal of the equipment

Journalize the partial-year depreciation expense. Date Accounts and Explanation Debit Credit Mar 31 Question Viewer Calculate any gain or loss on the disposal of the equipment (Enter a "O" for items with a zero value. Enter a loss with a minus sign or parentheses.) Market value of assets received Less Book value of asset disposed of Cost Less. Accumulated Depreciation Gain or (Loss)

Answer 1

Entry for partial year depreciation

Date	Accounts title and explanation	Debit	Credit
Mar-31	Depreciation expense	$                    225.00
	Accumulated depreciation		$               225.00
	(To record depreciation for 3 month)

Requirement 2

You did not post sale price so i assume the sales price is zero . Please provide sales price of equipment if any available.

Market value of asset received
Less: Book value of asset disposed off
cost	$             28,900.00
Less: Accumulated depreciation	$             28,225.00	$                    675.00
Gain(Loss)		$                  (675.00)

Date	Accounts title and explanation	Debit	Credit
Mar-31	Accumulated depreciation	$              28,225.00
	Loss on disposal of Equipment	$                    675.00
	Equipment		$         28,900.00
	(To record disposal of equipment)