St. Kilda Industrial Equipment uses the straight-line method of recording depreciation of its assets.

The following is a summary of the non-current assets purchased during the second half of the financial year ending 30^th June 2022.

Jan 1. 22

Purchased 4 industrial washing machines costing $4000 each. Due to the bulk purchase, the supplier granted a 5% trade discount.

Additional charges that were incurred including $800 delivery costs and $1200 installation costs. The washing machines have a useful life of 5 years and residual value of $500 each.

Mar 30.22

Purchased 3 industrial dryers costing $3500 each. Additional charges included delivery $800 and $900 in I installation. The dryers will have a useful life of 5 years and residual value of $750 each.

Required:

(a) Prepare the journal entries to record the purchase of the assets.

(b) Prepare the journal entries to record the depreciation for the assets for 30^th June 2022.