On May 31,2017 a company purchased a machine for 77,000 $ with 5000$ estimated salvage value and

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Question:

On May 31,2017 a company purchased a machine for 77,000 $ with 5000$ estimated salvage value and 5 years’ useful life. The company used sum of the year’s digits to recorded depreciation expenses during the year. After recording depreciation in 31/12/2018 the company tested the machine for impairment and found the value in use was 36800 and sales value 37200. There wasn’t any change for useful life or salvage value but the company used the double declining method to continue the depreciation. In 1/1/2020 the company exchange the machine when its market value was $23000 with other machine and paid 77,000 $ (commercial), the new machine expected to life 6 years and 7000 salvage value with465000 totals of units’ production. In 2020 the company produced 165000 units.

Required:

Journalize all entries for this company from May 31/2017 until 31/12/2020.