PB$9-2($Algo$)$ Recording and Interpreting the Disposal of Long$-$Lived Assets $[$LO $9-5]$

During the current year, Rayon Corporation disposed of two different assets. On January $1,$ prior to their disposal, the accounts reflected the following:

$\backslash$table$[[,,,\backslash$table$[[$Accumulated$],[$Depreciation $($straight$-]]],[$Asset$,$Original Cost,Residual Value,Estimated Life,line$)]]$

The machines were disposed of in the following ways:

a$.$ Machine A: Sold on January $2,$ for $$33,700$ cash.

b$.$ Machine B: On January $2,$ 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 Machine B on January $2$ 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

$1$

$2$

$3$

$4$

Record the current year depreciation for Machine A prior to disposal.