CP9-1 Computing Acquisition Cost and Recording Depreciation under Three Alternative Methods (LO 9. 2, LO 9-3) At the beginning of the year, Young Company bought two used machines from Vince, Inc. The machines immediately were overhauled, were installed, and started operating. Because the machines were different, each was recorded separately in the accounts. Machine A $7,600 Amount paid for asset Installation costs Renovation costs prior to use Repairs after production began 200 Machine B $25,600 600 1,200 350 1,500 400 By the end of the first year, each machine had been operating 7,000 hours. Required: 1. Compute the cost of each machine 2. Prepare the journal entry to record depreciation expense at the end of year 1, assuming the following: Estimates Machine Lite Residual Value Depreciation Method A 5 years $ 600 Straight-line B 40,000 hours 1,800 Units-of-production Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the cost of each machine. Cost of Machine Machine A Machine B