Watts Company purchased equipment in 2013 for $90,0ó0 and estimated a $6,000 salvage value at the end of the equipment's 10-year useful life. At December 31, 2019, there was $58,800 in the accumulated depreciation account for this equipment using straight-line depreciation. On March 31, 2020, the equipment was sold for $24,000. Prepare the journal entries required on March 31, 2020.

Watts Company purchased equipment in 2013 for $90,0ó0 and estimated a $6,000 salvage value at the end of the equipment's 10-year useful life. At December 31, 2019, there was $58,800 in the accumulated depreciation account for this equipment using straight-line depreciation. On March 31, 2020, the equipment was sold for $24,000. Prepare the journal entries required on March 31, 2020.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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