Problem 10-4A (Static) Computing and revising depreciation; revenue and capital expenditures LO C1, C2, C3 Champlon Contractors completed the following transactions involving equipment. Year 1 January 1 paid $287,600 cash ples 511,500 in sales tax and 51,50e in transportation (Fob shipping point) for a new toader. The loader is estinated to have a four-year Life and a 520,6ve salvage value. Loader costs are recorded in the Equipoent account. January 3 Paid 54,800 to install air-conditioning in the tosder to enable operations under harsher cenditiens. This. increased the estiaated sotvage value of the loader by another s1,4eo. Deceaber 31 Reconded annuat straight-line depreciation on the toader. Year 2 Jandary i Paid S5,4e8 to overhiut the Loader's engine, which increased the loader's estinated useful uffe by two years. February 17 Pald saze for alnor repairs to the loader after the operator backed it into a tree. Decenter 31 Mecorded annual straight-tine depreciation on the loader. Journal entry worksheet 6 Paid $287,600 cash plus $11,500 in sales tax and $1,500 in transportation (FOB shipping point) for a nw loader. The loader is estimated to have a fouryear life and a $20,600 salvage value. Loader costs are recorded in the Equipment account. Note: Enter debits before credits. Required: Prepare journal entries to record these transactions and events. Journal entry worksheet 6 Paid $4,800 to install air-conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $1,400. Note: Enter debits before creditsi Journal entry worksheet 6 Recorded annual straight-line depreciation on the loader. Note: Enter debits before credits. Journal entry worksheet 6 Paid $5,400 to overhaul the loader's engine, which increased the loader's estimated useful life by two ears. Note: Enter debits belore credits. Journal entry worksheet