At the beginning of the year, CCZ Corporation bought three used machines from Pequita Compression Incorporated. The machines Immediately were overhauled, Installed, and started operating. Because the machines were different from each other, each was recorded separately in the accounts. Cont of the asset Installation conta Renovation conta prior to use Repairs after production began Machine A $10,040 1,620 620 520 Machines $28,340 2,120 1,420 420 Machine C $22,200 820 1,620 720 By the end of the first year, each machine had been operating 7.200 hours. Required: 1-a. Compute the cost of each machine. Machine C Tor Total cost 1-b. Which of the following should be capitalized? (Select all that apply.) Renovation costs Installation costs Purchase costs 1-b. Which of the following should be capitalized? (Select all that apply.) Renovation costs Installation costs Purchase costs Repair cost Depreciation costs 2. Prepare the journal entry to record depreciation expense at the end of year 1, assuming the following: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Ratimates Machine A Lite 4 years 33,200 hours 5 years Residual Value $1,000 2,000 1,300 Depreciation Method Straight-line Units-of-production Double-declining-balance View transaction list Journal entry worksheet View transaction list Journal entry worksheet A > Record the entry for depreciation expense at the end of year 1. Note: Enter debits before credits. Transaction General Journal Dobit Credit Record entry Clear entry View general Journal