Equipment is purchased for £14,000 on 30 September 2015. It is depreciated using the straight line method, with no residual value and an expected lifespan of seven years. Depreciation is to be based on a monthly basis. On 1 April 2017, the equipment was sold for £8,800.

Produce an asset disposal account to record the sale of the asset. The business’s financial year ends on 31 December.