Answer:
Journal 1
Debit : Other Income  $34,000
Credit : Equipment $34,000
Journal 2
Debit : Accumulated depreciation  $6,800
Credit : depreciation $6,800
Explanation:
Step 1 : Eliminate the Income resulting from sale and the additional value of equipment sitting in the buyer books
Income = Selling Price - Carrying Amount
where,
Carrying Amount = Cost - Accumulated depreciation
                              = $84,000
therefore,
Income = $118,000 - $84,000 = $34,000
Journal;
Debit : Other Income  $34,000
Credit : Equipment $34,000
Step 2 : Eliminate the unrealized profit as a result of additional asset value
unrealized profit = income ÷ remaining useful life
                             = $34,000 ÷ 5
                             = $6,800
Journal;
Debit : Accumulated depreciation  $6,800
Credit : depreciation $6,800