The financial year of Sandy Company Limited ends on 31 December. The company had the following transactions / events relating to its machine during 2018, 2019 and 2020:

2018
1 January	Purchased a machine at an invoice price of $480,000.
1 January	Paid transportation costs of $6,000, maintenance fees of $1,600 and installation costs of $2,400 for the machine.
31 December	Recorded annual depreciation using straight line method on the machine. The machine is estimated to have a useful life of 4 years and residual value of $30,000.
2019
1 January	Paid $60,000 to improve the service potential of the machine. It is expected that the estimated useful life of the machine will be increased by 2 years to a total of 6 years. The residual value is estimated to be nil.
1 March	Paid $10,000 to repair the machine.
31 December	Recorded annual depreciation using straight line method on the machine.
2020
30 June	Due to the technological changes, the machine became no longer useful. The company sold the machine for $200,000 cash.

a) Prepare journal entries to record the above transactions / events for 2018, 2019 and 2020. Show your calculations clearly. Narratives are not required. (Hint: depreciation on 30 June 2020 just before the machine is sold is calculated according to how many months the machine had been used in 2020).

b) A junior accountant made the following comment about a machine.

Machine must be a property, plant and equipment because this is worth a lot of money. It is not possible for it to be an inventory.

(c) Do you agree with the accountant? Explain your answer.