Exercise 8-14 Ordinary repairs, extraordinary repairs, and betterments LO C3 Oki Company pays $283,400 for equipment expected to last four years and have a $30,000 salvage value. Prepare journal entries to record the following costs related to the equipment 1. During the second year of the equipment's life, $18,900 cash is paid for a new component expected to increase the equipment's productivity by 10% a year. 2. During the third year, $4,725 cash is paid for normal repairs necessary to keep the equipment in good working order. 3. During the fourth year, $11,850 is paid for repairs expected to increase the useful life of the equipment from four to five years. View transaction that Journal entry worksheet 1 2 3 Record the betterment cost of $18,900 paid in cash. ang pany pays $283,400 for equipment expected to last four years and ne following costs related to the equipment. ng the second year of the equipment's life, $18,900 cash is paid for a n ductivity by 10% a year. ring the third year, $4,725 cash is paid for normal repairs necessary to kee ring the fourth year, $11,850 is paid for repairs expected to increase the use new transaction list Journal entry worksheet 1 2 3 Record the cost of normal repairs of $4,725 paid in cash to keep the equipment in good working order. Note: Enter debits before credits. Transaction urnal entry worksheet 1 2 3 Record the cost of repairs of $11,850 paid in cash to increase the useful life of the equipment. Note: Enter debits before credits. Transaction