Part II (15 marks) On 4 May 2016, Moment Ltd bought a mining machine at $3,000,000. The useful life of the machine was estimated to be five years, with a residual value of $150,000. The Company uses straight-line depreciation method with half-year convention and adjusts its accounts annually with the year-end on 31 December. Consider the following as two independent assumptions: (a) Assuming that on 3 April 2020, Moment Ltd sold the machine for $700,000 cash. Prepare the journal entries to record the disposal of the machine. (8 marks) (b) Assuming that on 1 January 2020, Moment Ltd had added a new component of $555,000 in the machine to enhance the hash rate. The Company revised the estimated useful life of the machine from five years to eight years with residual value of $560,001 (1) Compute the book value of the machine at 1 January 2020 after upgrade. (Show your workings) (3 marks) (ii) Prepare the journal entries to record the depreciation expense for 2020