Oki Company pays $320,800 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, $25,100 cash is paid for a new component expected to increase the equipment's productivity by 10% a year. 2. During the third year, $6,275 cash is paid for normal repairs necessary to keep the equipment in good working order. 3. During the fourth year, $18,050 is paid for repairs expected to increase the useful life of the equipment from four to five years. View transaction list Journal entry worksheet 1 2 3 > Record the betterment cost of $25,100 paid in cash. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Record entry Clear entry View general journal Oki Company pays $320,800 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, $25,100 cash is paid for a new component expected to increase the equipment's productivity by 10% a year. 2. During the third year, $6,275 cash is paid for normal repairs necessary to keep the equipment in good working order. 3. During the fourth year, $18,050 is paid for repairs expected to increase the useful life of the equipment from four to five years. View transaction list Journal entry worksheet Record the cost of repairs of $18,050 paid in cash to increase the useful life of the equipment. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal