Required information [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 $10,000 to wire electricity to the machine. Onslow paid an additional $2,000 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. 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. Journal entry worksheet 2 3 Record the costs of $10,000 incurred on the used machine. Note: Enter debits before credits. Date January 03 General Journal Debit Credit 10,000 Record entry Clear entry View general journal Journal entry worksheet < 2 3 Record the cost of $2,000 for an operating platform. Note: Enter debits before credits. Date January 04 General Journal Debit Credit Record entry Clear entry View general journal Journal entry worksheet < 1 2 Record the sale of the used machine for $23,500 cash. Note: Enter debits before credits. Date General Journal Debit Credit December 31 Loss on sale of machinery Accumulated depreciation-Machinery 186,000 Record entry Clear entry View general journal Journal entry worksheet < 1 2 Record the sale of the used machine for $94,000 cash. Note: Enter debits before credits. Date December 31 Cash O General Journal Debit Credit 94,000 Accumulated depreciation-Machinery Gain on sale of machinery Machinery 186,000 26,000 252,000 Record entry Clear entry View general journal Journal entry worksheet < 1 2 3 Record the purchase of a used machine for $240,000 cash. Note: Enter debits before credits. Date January 02 General Journal Debit Credit Machinery 240,000 Cash 240,000 Record entry Clear entry View general journal