Exercise 10-26A (Algo) Exchanging assets LO P5 On January 2, Bering Company disposes of a machine costing $57,000 with accumulated depreciation of $30,705. Prepare the entries to record the disposal under each separate situation. 1. The machine is sold for $22,054 cash. 2. The machine is traded in for a new machine having a $73,500 cash price. A $27,143 trade-in allowance is received, and the balance is paid in cash. Assume the asset exchange has commercial substance. 3. The machine is traded in for a new machine having a $73,500 cash price. A $20,357 trade-in allowance is received, and the balance is paid in cash. Assume the asset exchange has commercial substance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 The machine is sold for $22,054 cash. View transaction list Journal entry worksheet 1 Record the sale of the machine for $22,054 cash. Note: Enter debits before credits. General Journal Debit Credit Date January 02 Cash 22,054 Accumulated depreciation-Machinery (old) 30,705 Loss on sale of machinery 4,241 Machinery (new) 57,000 Record entry Clear entry View general journal