Prepare journal entries to record these transactions Credit

Prepare journal entries to record these transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select \"No Entry\" for the account tities and enter O for the amounts.) (a) received (b) No. Account Titles and Explanation Cullumber Company retires its delivery equipment, which cost $54,410. Accumulated depreciation is also $54,410 on this delivery equipment. No salvage value is Assume the same information as in part (a), except that accumulated depreciation for the equipment is $37,750 instead of 54,410 Credit

Solution

No Accounts Titles & Explanation Debit ($) Credit ($) a Accumulated depreciation - Equipment 54,410 Equipment 54,410 b Accumulated depreciation - Equipment 37,750 Loss on disposal of equipment ($54,410 - $37,750) 16,660 Equipment 54,410