Question

Here are selected 2022 transactions of Culver Corporation.

Jan. 1		Retired a piece of machinery that was purchased on January 1, 2012. The machine cost $61,300 and had a useful life of 10 years with no salvage value.
June 30		Sold a computer that was purchased on January 1, 2020. The computer cost $35,800 and had a useful life of 4 years with no salvage value. The computer was sold for $4,100 cash.
Dec. 31		Sold a delivery truck for $9,210 cash. The truck cost $24,200 when it was purchased on January 1, 2019, and was depreciated based on a 5-year useful life with a $3,300 salvage value.

Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of, where applicable. Culver Corporation uses straight-line depreciation. (Record entries in the order displayed in the problem statement. 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 titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Choose a transaction date June 30Dec. 31Jan. 1	Enter an account title	Enter a debit amount	Enter a credit amount
	Enter an account title	Enter a debit amount	Enter a credit amount
Choose a transaction date June 30Jan. 1Dec. 31	Enter an account title to record depreciation expense for 2017	Enter a debit amount	Enter a credit amount
	Enter an account title to record depreciation expense for 2017	Enter a debit amount	Enter a credit amount
	(To record depreciation expense)
	Enter an account title to record sale of computer	Enter a debit amount	Enter a credit amount
	Enter an account title to record sale of computer	Enter a debit amount	Enter a credit amount
	Enter an account title to record sale of computer	Enter a debit amount	Enter a credit amount
	Enter an account title to record sale of computer	Enter a debit amount	Enter a credit amount
	(To record sale of computer)
Choose a transaction date Dec. 31June 30Jan. 1	Enter an account title to record depreciation expense for 2017	Enter a debit amount	Enter a credit amount
	Enter an account title to record depreciation expense for 2017	Enter a debit amount	Enter a credit amount
	(To record depreciation expense)
	Enter an account title to record sale of delivery truck	Enter a debit amount	Enter a credit amount
	Enter an account title to record sale of delivery truck	Enter a debit amount	Enter a credit amount
	Enter an account title to record sale of delivery truck	Enter a debit amount	Enter a credit amount
	Enter an account title to record sale of delivery truck	Enter a debit amount	Enter a credit amount
	(To record sale of delivery truck)

Answer 1

Answer
Journal entries
Date	Accounts title and explanations				Debit	Credit
01-Jan	Accumulated depreciation				$      61,300
	Machinery					$      61,300
30-Jun	Depreciation expenses				$        4,475
	Accumulated dep-Computer equipment					$        4,475
			(35800-0)/4 * 0.5
30-Jun	Accumulated dep-Computer Equipment (8950*2.5)				$      22,375
	Loss on sale of Equipment				$        9,325
	Cash account				$        4,100
	Computer Equipment					$      35,800
31-Dec	Depreciation expenses				$        4,180
	Accumulated depreciation-Delivery truck					$        4,180
			(24200-3300)/5
31-Dec	Accumulated dep - Delivery truck   (24200-3300)*4/5				$      16,720
	Cash account				$        9,210
	Delivery Equipment					$      24,200
	Gain on sale of Equipment					$        1,730