Reference no: EM132537699

Question - Assume that on the same date January 2, 2020 Floro purchased Equipment for K8, 800 cash, expecting the equipment to remain in service for five years. Floro has depreciated the Equipment on a Double Declining Balance basis, with K1, 300 estimated residual value. On August 31, 2020 Floro sold the Equipment for K2, 900 cash. Record both the depreciation values on the Equipment to the date of sale and the calculations to record the sale of the Equipment, showing the gain or loss on disposal of the asset.