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Question B1 Rankin & Co. manufactures a range of components. On 1st January 2014, it purchased two machines (Machine 1 & Machine 2) for 30,000 each to manufacture component X. Each machine had an estimated life of 5 years with no life end residual value. Rankin uses straight line depreciation, which is calculated on a monthly basis. The market demand for component X falls unexpectedly and on 31st March 2016 Rankin sells one of the machines (machine 1] on credit for 16,000. Later in 2016 Rankin decides to abandon the production of X completely and sells the second machine (machine 2) on 1st December 2016 for 5,000 cash. Required: (a) Draft the following ledger accounts for the accounting year ending 31st December 2016. (1) Machinery account [2] (II) Depreciation of machinery account [6] (ill) Disposal of machinery account [7] (b) Identify and explain the total charge to the Profit and loss for 2016, relating [5] to the above entries