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 Residual Estimated Accumulated Depreciation Asset Cost Value Life (straight-line) Machine A $33,000 $3,600 4 years $22,050 (3 years) Machine B 65,200 4,300 14 years $47,850 (11 years) The machines were disposed of in the following ways: a Machine A: Sold on January 1 for $11.700 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 field.) Journal entry worksheet 1 2. 3 N 4 > 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 Journal entry worksheet Machine B: On January 1, this machine was scrapped with zero proceeds (and zero cost of removal). Record the transaction. Note: Enter debits before credits. Date General Journal Debit Credit January 01 Record entry Clear entry View general journal