Venkat Engineering decided to dispose of his old industrial evaporator and upgrade to a new model. He had purchased the old evaporator on January 1,2008 for $14,300. There was no salvage/residual value and the useful life Venkat had used was 5 years. Venkat depreciated his machinery using a Straight Line basis.

Venkat decided to junk the machinery by taking it to the local landfill on June 30, 2013.

a) Did Venkat incur any gain or loss?  Select an answer $0 Gain $1430 Gain $2860 Gain $14,300

b) Journalize this asset disposal on Venkat's books on June 30, 2013.

Journal

Date	Description	Debit	Credit
June 30
June 30