In a recent 10-K report, National Package Service states it "is the world's largest package delivery company, a leader in the U. S. less-than-truckload industry, and the premier provider of global supply chain management solutions."
The following note and data were reported:Note 1—Summary of Accounting PoliciesImpairment of Long-Lived Assets. . . we review long-lived assets for impairment when circumstances indicate the carrying amount of an asset may not be recoverable based on the undiscounted future cash flows of the asset. . . .Dollars in MillionsCost of property and equipment (beginning of year) $ 41,109 Cost of property and equipment (end of year) 43,040 Capital expenditures during the year 2,933 Accumulated depreciation (beginning of year) 21,740 Accumulated depreciation (end of year) 22,911 Depreciation expense during the year 1,978 Cost of property and equipment sold during the year 950 Accumulated depreciation on property sold 807 Cash received on property sold 119 Required:1. Reconstruct the journal entry for the disposal of property and equipment during the year.