Abbott Landscaping purchased a tractor at a cost of $42,000 and sold it three years later for $21,600

Abbott Landscaping purchased a tractor at a cost of $42,000 and sold it three years later for $21,600. Abbott recorded depreciation using the straight-line method, a five-year service life, and a $3,000 residual value. Tractors are included in the Equipment account.

Required:

1. Record the sale.

2. Assume the tractor was sold for $13,600 instead of $21,600. Record the sale.

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Russell Retail Group begins the year with inventory of $55,000 and ends the year with inventory of

Russell Retail Group begins the year with inventory of $55,000 and ends the year with inventory of $45,000. During the year, the company has four purchases for the following amounts.   

  Purchase on February 17            $ 210,000 

  Purchase on May 6        130,000 

  Purchase on September 8          160,000 

  Purchase on December 4           410,000

Required:

Calculate cost of goods sold for the year.

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