Module 2 Pets Unlimited had a piece of equipment that it purchased 10 years ago. Its cost was $110,000

Pets Unlimited had a piece of equipment that it purchased 10 years ago. Its cost was $110,000 and it had accumulated depreciation of $75,000.

Record the disposition of the asset under the following independent situations:

1.  Pets Unlimited sold the equipment for $25,000.

2.  Pets Unlimited discarded the equipment at a cost of $10,000.

3.  Pets Unlimited traded in the asset for a new similar asset with a list price of $120,000. Pets Unlimited was given $10,000 as a trade-in allowance and paid cash for the balance.

4.  Pets unlimited traded in the asset for a new similar asset with a list price of $200,000. Pets Unlimited was given a trade-in allowance of $50,000 and took signed a note payable for the remainder.