Required information (The following information applies to the questions displayed below.) During the current year, Merkley Company disposed of three different assets. On January 1 of the current year, prior to the disposal of the assets, the accounts reflected the following: Asset Machine A Machine B Machine C Original Cost $ 30,000 49,000 75,500 Residual Value $ 3,000 4,000 6,200 Estimated Life 8 years 8 years 17 years Accumulated Depreciation (straight line) $20,250 (6 years) 33,750 (6 years) 48,918 (12 years) The machines were disposed of during the current year in the following ways: a. Machine A: Sold on January 1 for $9,450 cash. b. Machine B: Sold on December 31 for $10,325; received cash, $2,500, and a $7,825 interest-bearing (12 percent) note receivable due at the end of 12 months. c. Machine C: On January 1, this machine suffered irreparable damage from an accident. On January 10, a salvage company removed the machine at no cost. Required: 1. Give all journal entries related to the disposal of each machine in the current year. a. Machine A. b. Machine B. c. Machine C. Answer is not complete. Complete the following questions by preparing worksheet and journal entries given below. Required A Required B Required C Give all journal entries related to the disposal of Machine B in the current year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No General Journal Debit Credit Transaction December 31 5,625 Depreciation expense Accumulated depreciation, Machine B 5,625 B December 31 Cash 2,500 OOOOOOO Note receivable 7,825 39,375 Accumulated depreciation, Machine B Gain on disposal of machine Equipment (Machine B) 15,250 X 49,000