- Aigo Computing and revising depreciation; revenue and capital expenditures LO C1, C2, C3 Champion Contractors completed the following transactions involving equipment os Year 1 Jan. 1 Paid $250,000 cash plus $10,000 in sales tax and 51,000 in transportation (OB shipping point for a new loader. The loader is estimated to have a four-year life and a $25.00 salvage value. Loader costs are recorded in the Equipment account. Jan. JP5,000 to install air conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the leader by another $1,800. Dec. 31 Recorded annual straight-line depreciation on the loader. Year 2 Jan. 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estimated useful tire by two years. Feh. 17 Paid $1,050 for sinor repairs to the loader after the operator backed it into a tree. Dec. 31 Recorded annual straight-line depreciation on the leader. Required: Prepare journal entries to record these transactions and events. View transactionist Journal entry worksheet VW Journal entry worksheet 1 2 4 5 6 Recorded annual straight-line depreciation on the loader. Note: Enter debits before credits Date General Journal Debit Credit Dec 31, Year 1 View transaction list ances Journal entry worksheet View transaction list ces Journal entry worksheet 2 3 4 6 Paid $1,050 for minor repairs to the loader after the operator backed it into a tree. Note: Enter debits before credits Date General Journal Debit Credit Feb 17. Year 2 View transaction list nces Journal entry worksheet