Machinery costing $123,000 with zero salvage value is no longer useful to the company and has no market value. If the machinery has been fully depreciated at the time of disposal, the entry to record the disposal would be:

Cash	123,000
Machinery		123,000

Machinery	123,000
Accumulated Depreciation - Machinery		123,000

Accumulated Depreciation - Machinery	123,000
Depreciation Expense		123,000

Accumulated Depreciation - Machinery	123,000
Machinery		123,000

Depreciation Expense	123,000
Machinery		123,000