Required information Problem 8-6A (Algo) Disposal of plant assets LO C1, P1, P2 [The following information applies to the questions displayed below.] Onslow Company purchased a used machine for $240,000 cash on January 2. On January 3, Onslow paid $8,000 to wire electricity to the machine. Onslow paid an additional $1,600 on January 4 to secure the machine for operation. The machine will be used for six years and have a $28,800 salvage value Straight-line depreciation is used. On December 31, at the end of its fifth year in operations, it is disposed of Problem 8-6A (Algo) Part 1 Required: 1. Prepare journal entries to record the machine's purchase and the costs to ready it for use. Cash is paid for all costs incurred. Answer is complete and correct. No 1 Date January 021 General Journal Debit Credit Machinery Cash 00 240,000 240,000 2 January 03 Machinery Cash 8,000 8,000 3 January 04 Machinery Cash 1,600 1,600