A machine with a useful life of six years and a residual value of $3,000 was purchased at the beginning of year 1 for $30,000. The machine was so a. What was the book value of the machine at the end of year 3 assuming the straight-line method of depreciation is used? 16,500 b. Illustrate the effects on the accounts and financial statements of the depreciation from January 1 to April 1 of year 4. Enter an increase in Ac negative value. In all other cases, enter increases in accounts as positive values and decreases as negative values. c. Illustrate the effects on the accounts and financial statements of the sale of the machine on April 1. Enter increases in accounts as positive negative values, with one exception. Enter a decrease in Accumulated Depreciation as a positive amount. Assets = Liabilities + Stockholders' Equity Cash Machine Accumulated Depreciation Capital Stock Retained Earnings (b) 15,000 Statement of Cash Flows Income Statement (b) Depreciation expense 1,125 (c) Investing 15,000 (c) Loss on sale of machine 375 Feedback Check My Work Partially correct Check My Work