PA9-2 (Algo) Recording and Interpreting the Disposal of Long-Lived Assets [LO 9-5) Ly Company disposed of two different assets. On January 1, prior to their disposal, the accounts reflected the following: Original Accumulated Depreciation Asset Cost Residual value Estimated Life (straight-line) Machine A $43,800 $5,000 5 years $30,400 (4 years) Machine B 79,200 5,400 12 years $55,350 (9 years) The machines were disposed of in the following ways: a. Machine A: Sold on January 1 for $13,500 cash. b. Machine B: On January 1, this machine was scrapped with zero proceeds (and zero cost of removal). Required: 1. & 2. Prepare the journal entries related to the disposal of Machine A and B at the beginning of the current year. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account fleld.) View transaction list Journal entry worksheet Record the current year depreciation for Machine A prior to disposal. Note: Enter debits before credits. General Journal Debit Credit Date January 01 Record entry Clear entry View general journal Required: 1. & 2. Prepare the journal entries related to the disposal of Machine A and B at the beginning of the current year. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account fleld.) View transaction list X > 1 Record the current year depreciation for Machine A prior to disposal. 2 Machine A: Sold on January 1 for $13,500 cash. Record the transaction. 3 Record the current year depreciation for Machine B prior to disposal. bit Credit 4 Machine B: On January 1, this machine was scrapped with zero proceeds (and zero cost of removal). Record the transaction. Note : journal entry has been entered Record entry Clear entry View general journal