West Inc. bought Machine No.2 for $16,000 on Jan 1, 2016.  It had a 4-year life with no residual value and was depreciated using straight-line.  West revalues its machines at the end of each financial year.  The appraised fair values of Machine No. 2 are shown below.  West disposed of valueless Machine No. 2 on Jan 1, 2020.

 

Date	Fair Value $	No credit for answers submitted without plausible calculations
Dec 31, 2016	10,500
Dec 31, 2017	9,000
Dec 31, 2018	4,500
Dec 31, 2019	0

 

Provide journal entries for each of following dates. [1½ marks for each part]     

 

a.	Dec 31, 2016	Journal entries	Dr.	Cr.
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b.	Dec 31, 2017	Journal entries	Dr.	Cr.
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c.	Dec 31, 2018	Journal entries	Dr.	Cr.
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d.	Jan 1, 2020	Journal entries	Dr.	Cr.
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