Cordon Enterprise Company leases many of its assets and capitalizes most of the leased assets. At December 31, the company had the following balances on its books in relation to a piece of specialized equipment:
Leased Equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $80,000
Accumulated Amortization—Leased Equipment . . . . . . . . . . . . . . . . . . . . . . . . . 49,300
Obligations under Capital Leases . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,000
Amortization has been recorded up to the end of the year, and no accrued interest is involved. At December 31, Cordon decided to purchase the equipment for $32,000 and paid cash to complete the purchase. Give the entry required on Cordon’s books to record the purchase.