Here are selected 2010 transactions of Falk Corporation.

Jan.

1

Retired a piece of machinery that was purchased on January 1, 2000. The machine cost $62,000 and had a useful life of 10 years with no salvage value.

June

30

Sold a computer that was purchased on January 1, 2008. The computer
cost $39,000 and had a useful life of 3 years with no salvage value. The
computer was sold for $5,000 cash.

Dec.

31

Sold a delivery truck for $9,000 cash. The truck cost $25,000 when it
was purchased on January 1, 2007, and was depreciated based on a
5 year useful life with a $3,000 salvage value.

Instructions

Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of, where applicable. Falk Corporation uses straight line depreciation.