Part B (8 Marks) The current reporting date of Michelle Traders, Michelle Traders is a registered VAT vendor and VAT rate is 15%, is 31 December 2019. On 1 April 2019, machinery, which was purchased for R1 380 000 (including VAT), was received. On 1 May 2019, the machinery was available for use as intended by management. Michelle Traders depreciate their machine at a rate of 20% per year on the diminishing balance method. Required: a) Calculate the depreciation expense of the machinery for the reporting period ended 31 December 2019 and 31 December 2020. (5 marks) b) Calculate the carrying amount of the machinery on 31 December 2019 and 31 December 2020. (3 marks) Part C (20 Marks) The current reporting date of Macbeth Traders, Macbeth Traders is a registered VAT vendor and VAT rate is 15%, is 31 December 2020. The following transactions relate to Macbeth Traders: 1. Macbeth Traders purchased a delivery vehicle on 1 September 2019 at a cost of R345 000 (including VAT). 2. On 1 February 2020, Macbeth Traders paid R23 000 (including VAT) to have the car serviced as part of its regular maintenance. 3. On 1 July 2020, Macbeth Traders sold the vehicle for R287 500 on credit to one of its account receivable. 4. Macbeth Traders depreciate vehicles at a rate of 25% per year on the diminishing balance method. Required: Record all the transactions related to the vehicle in general journal form for the financial year ended 31 December 2020. N.B Date and narrations are required. (20 marks)