Ly Company disposed of two different assets. On January 1, prior to disposal of the assets, the accounts reflected the following: Asset Estimated Life Original Cost Machine A $27,150 Machine B Residual 70,400 Value $2,900 3,650 5 years 15 years The machines were disposed of in the following ways: Accumulated Depreciation (straight-line) $19,400 (4 years) 57,850 (13 years) a Machine A: This machine was sold on January 1 for $6,920 cash. b. Machine B: On January 1, this machine suffered irreparable damage from an accident and was removed immediately by a salvage company at no cost. Required: 1. Prepare the journal entries related to the disposal of each machine at the beginning of the current year. Transaction "a" relates to the recording of the depreciation, and transaction "b" relates to the recording of the disposal of the machine. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Machine A - Jan. 1: View transaction list Journal entry worksheet > 1 2 Record the entry for depreciation expense. Note: Enter debits before credits. Transaction a. General Journal Debit Credit View general journal Record entry Clear entry Machine B January 1: View transaction list Journal entry worksheet < 1 2 Record the entry for depreciation expense. Note: Enter debits before credits. Transaction a. General Journal Debit Credit Record entry Clear entry View general journal > >