Mercury Delivery Service completed the following transactions involving equipment. Year 1 Jan. 1 Paid $25,860 cash plus $1,810 in sales tax for a new delivery van that was estimated to have a five-year life and a $3,670 salvage value. Van costs are recorded in the Equipment account. 3 Paid $1,850 to install sorting racks in the van for more accurate and quicker delivery of packages. This increases the estimated salvage value of the van by another $230. Dec. 31 Recorded annual straight-line depreciation on the van. Year 2 Jan. 1 Paid $2,064 to overhaul the van’s engine, which increased the van’s useful life by two years. May 10 Paid $800 for minor repairs to the van after the driver backed it into a loading dock. Dec. 31 Recorded annual straight-line depreciation on the van. Required Prepare journal entries to record these transactions and events.

Yoshi Company completed the following transactions and events involving its delivery trucks.  2016 Jan.   1   Paid $20,515 cash plus $1,485 in sales tax for a new delivery truck estimated to have a five-year life and a $2,000 salvage value. Delivery truck costs are recorded in the Trucks account. Dec.   31   Recorded annual straight-line depreciation on the truck.   2017 Dec.   31   Due to new information obtained earlier in the year, the truck’s estimated useful life was changed from five to four years, and the estimated salvage value was increased to $2,400. Recorded annual straight-line depreciation on the truck.  2018 Dec.   31   Recorded annual straight-line depreciation on the truck. Dec.   31   Sold the truck for $5,300 cash.   Required: 1-a. Calculate depreciation for year 2017.1-b. Calculate book value and gain (loss) for sale of Truck on December, 2018.1-c. Prepare journal entries to record these transactions and events.

Clarion Co. completed the following transactions and events involving the purchase and operation of equipment in its business. 2016 Paid $300,000 cash plus $30,000 in sales tax and $18,500 in transportation (FOB shipping point) for a new loader, which is estimated to have a four-year life and a $25,500 salvage value. Loader costs are recorded in the Machinery account. Paid $15,000 to enclose the cab and install air conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $1,500. Recorded double-declining balance depreciation on the loader. Jan. 1 Jan. 3 Dec. 31 2017 Jan. 1 Paid $50,400 to overhaul the loader's engine, which increased the loader's estimated useful life by two years. Paid $1,800 to repair the loader after the operator backed it into a tree. Recorded double-declining balance depreciation on the loader. Sold the loader for $250,000 cash. Feb. 17 Dec. 31 Dec. 31 REQUIRED: Prepare journal…