During 2016, Zora Corporation completed the following transactions:
Jan. 1 Traded in old office equipment with book value of $60,000 (cost of $129,000 and accumulated depreciation of $69,000) for new equipment. Zora also paid $75,000 in cash. Fair value of new equipment is $142,000. Assume the exchange had commercial substance.
Apr. 1 Sold equipment that cost $48,000 (accumulated depreciation of $39,000 through December 31 of the preceding year). Zora received $6,100 cash from the sale of the equipment. Depreciation is computed on a straight-line basis.
The equipment has a five-year useful life and a residual value of $0.
Dec. 31 Recorded depreciation as follows:
Office equipment is depreciated using the double-declining-balance method over four years with a $4,000 residual value.
Record the transactions in the journal of Zora Corporation.