Chapter 12, Problem 22E

To determine

(a)

Introduction:

The original cost of the equipment is the cost at which the equipment is purchased. It considers all the cost of items that required for its purchase and putting the asset to use.

To calculate:

Original cost of the equipment.

To determine

(b)

Introduction:

Accumulated depreciation is the sum of total depreciation expense that has been allocated to fixed assets, since the asset was put to use.

To calculate:

Accumulated depreciation on the equipment.

To determine

(c)

Introduction:

An asset is an item of property that is owned by and individual or a firm. Assets are reported on the balance sheet of the company.

To calculate:

Cash received from the sale of equipment.