During the current year, Martinez Company disposed of two different assets. On January 1, prior to their disposal, the accounts reflected the following:

Asset	Original Cost			Residual Value			Estimated Life		Accumulated Depreciation (straight-line)
Machine A	$	79,700		$	5,600		15	years	$	64,220	(13 years)
Machine B		23,500			2,700		8	years		15,600	(6 years)

The machines were disposed of in the following ways:

a.	Machine A: Sold on January 2 for $23,500 cash.
b.	Machine B: On January 2, this machine suffered irreparable damage from an accident and was removed immediately by a salvage company at no cost.

Required:
1. & 2.	Prepare the journal entries related to the disposal of Machine A and B on January 2 of the current year. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
	TIP: When no cash is received on disposal, the loss on disposal will equal the book value of the asset at the time of disposal.

1. Record the disposal of Machine A for $23,500 cash on January 2, 2014.

2. Record the disposal of Machine B due to irreparable damage from an accident.