Champion Contractors completed the following transactions and events involving the purchase and operation of equipment in its business. 2016 1 Paid $270,000 cash plus $10,800 in sales tax and $1,600 in trans portation (FOB shipping point) for a new loader. The loader is estimated to have a four-year life and a $27, 000 salvage value. Loader costs are recorded in the Equipment account. 3 Paid $5,000 to enclose the cab and install air conditioning in the loader to enable operations under harsher conditions. This increas ed the estimated salvage value of the loader by another $1,500. Jan. Jan. Dec. 31 Recorded annual straight-line depreciation on the loader. 2017 1 Paid $4,200 to overhaul the loader's engine, which increased the loader's estimated useful life by two Jan. years. Feb. 17 Paid $1,050 to repair the loader after the operator backed it into a tree. Dec. 31 Recorded annual straight -line depreciation on the loader. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet 1 2 5 4 Paid $270,000 cash plus $10,800 in sales tax and $1,600 in transportation (FOB shipping point) for a new loader. The loader is estimated to have a four- year life and a $27,000 salvage value. Loader costs are recorded in the Equipment account. Note: Enter debits before credits. Date General Journal Debit Credit Jan 01, 2016 Record entry Clear entry View general journal Journal entry worksheet