Launch Oil Company, a successful efforts company, owns 100% of the working interest in a 320-acre proved property with the following net unamortized costs:

Launch Oil Company sells 100% of the working interest, including the wells and equipment, on the western 160 acres of the property for $200,000. An appraisal is performed with the following results:

REQUIRED: Give the entry to record the sale.

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Leasehold.. IDC..... Equipment $ 60,000 200,000 88,000