To improve production output a new machine (model BA1) was purchased on 1 January 2022 . The BA1 machine was purchased for $13.5m, with costs of $35,000 for delivery and a further $12,500 for installation. The BA1 machine is depreciated on a straight line basis over ten (10) years with a residual value of $450,000. It was ready for use on 1 January 2022. Johnson Re Ltd has a reporting date of 30 June. Required: (a) Prepare the journal entries for the sale of the old machine at 31 December 2021 (4 marks); (b) Prepare the journal entry for depreciation of the new machine for the year ended 30 June 202