Diaz Company owns a machine that cost $126,600 and has accumulated depreciation of $90,200. Prepare the entry to record the disposal of the machine on January 1 in each seperate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2. Diaz sold the machine for $16,700 cash. 3. Diaz sold the machine for $36,400 cash. 4. Diaz sold the machine for $40,200 cash. View transaction list Journal entry worksheet Record the sale of the machine for $40,200 cash. Note: Enter debits before credits. Date General Journal Debit Credit Jan 01 40,200 90,200 Cash Accumulated depreciationMachine Gain on sale of machine Machine 38,200 126,000