V Your answer is correct. Prepare the journal entries to record the depot and asset retirement obligation for the depot on January 1, 2025. Based on an effective-interest rate of 7%, the present value of the asset retirement obligation on January 1, 2025, is $41,059. Use the Plant Assets account for the tanker depot. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. List all debit entries before credit entries.) Account Titles and Explanation Debit Credit Plant Assets 609000 Cash 609000 (To record the depot) Plant Assets 41059 Asset Retirement Obligation 41059 (To record the asset retirement obligation)Prepare any journal entries required for the depot and the asset retirement obligation at December 31, 2025. Vaughn uses straight-line depreciation; the estimated salvage value for the depot is zero. (Round answers to O decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. List all debit entries before credit entries.) Account Titles and Explanation Debit Credit (To record depreciation for the depot) (To record depreciation on asset retirement obligation) (To record interest on asset retirement obligation)Vaughn Company purchases an oil tanker depot on January 1, 2025, at a cost of $609,000. Vaughn expects to operate the depot for 10 years, at which time it is legally required to dismantle the depot and remove the underground storage tanks. The company estimates the dismantle and removal will cost $80,770 at the end of the depot's useful life