Return to question The machines were disposed of in the following ways: a. Machine A: Sold on January 2 for $25,500 cash. b. Machine B: On January 2, this machine was sold to a salvage company at zero proceeds (and zero cost of removal). Required: 1. & 2. Prepare the journal entries related to the disposal of Machine A and B on the January 2 of the current year. TIP: When no cash is received on disposal, the loss on disposal will equal the book value of the asset at the time of disposal. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Answer is not complete. No Date General Journal Credit 1 Jan 02 Cash Accumulated Depreciation Equipment Gain on Disposal Debit 25,500 64,307 8,107 2 Jan 02 16,800 Accumulated Depreciation-Equipment Loss on Disposal >>