Recording Asset Acquisition, Depreciation, and Disposal (FSET) the machine has a useful life of 5 years and residual value of $19,500. Use the financial statement effects template to show how the following activities affect the balance sheet and income statement: a. Acquisition of the machine including all costs incurred to prepare it for its intended use. b. Depreciation in the first year. Verdi uses the straight-line method of depreciation. c. Sale of the machine on December 31, Year 4. Verdi sold the machine to another company for $35,000