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At the beginning of the year, CCZ Corporation bought three used machines from Pequita Compression Incorporated. The machines immediately were overhauled, installed, and started operating. Because the machines were different from each other, each was recorded separately in the accounts. Machine B $30,860 2,020 1,320 Machine A $9,840 1,520 520 420 Machine C $21,200 Cost of the asset Installation costs 720 Renovation costs prior to use Repairs after production began 1,520 620 320 By the end of the first year, each machine had been operating 6,200 hours Required: 1-a. Compute the cost of each machine. Machine B Total A 34,200 23,440 Total cost 11,880 69,520 1-b. Which of the following should be capitalized? (Select all that apply.) 2. Prepare the journal entry to record depreciation expense at the end of year 1, assuming the following: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Estimates Residual Depreciation Method Machine Life Straight-line Units -of - production Double-declining - balance A 4 years 32, 200 hours 5 years $1,000 2,000 C 1,400 Answer is not complete. No Transaction General Journal Debit Credit Depreciation expense 2,720 A 1 Accumulated depreciation, machine A 2,720 6,200 Depreciation expense Accumulated depreciation, machine B 6,200 9,376 x Depreciation expense 9,376x Accumulated depreciation, machine C