ABC Company purchases a new machine for cash. The machine costs are $500,000. The company also must pay freight of $1, 500 to get the machine delivered and $2, 500 to get the machine installed. The equipment company has agreed to a 7% reduction in price if ABC accepts the machine by the end of June-which ABC has agreed to. ABC has decided to depreciate the machine by the double-declining method. It determines a there is salvage value of $5000. The machine will be depreciated over 10 years. Record the journal entry for the purchase of the equipment for this year, and the journal entry that ABC will record next June for the first year of depreciation on the equipment