On January 1, 2022, Pina Colada Company purchased the following two machines for use in its production process.

Machine A:		The cash price of this machine was $43,500. Related expenditures also paid in cash included: sales tax $3,550, shipping costs $150, insurance during shipping $50, installation and testing costs $100, and $200 of oil and lubricants to be used with the machinery during its first year of operations. Pina Colada estimates that the useful life of the machine is 5 years with a $5,250 salvage value remaining at the end of that time period. Assume that the straight-line method of depreciation is used.
Machine B:		The recorded cost of this machine was $180,000. Pina Colada estimates that the useful life of the machine is 4 years with a $10,000 salvage value remaining at the end of that time period.

(a)

New attempt is in progress. Some of the new entries may impact the last attempt grading.

Your answer is partially correct.

Prepare the following for Machine A. (Round answers to 0 decimal places, e.g. 5,125. List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

1.		The journal entry to record its purchase on January 1, 2022.
2.		The journal entry to record annual depreciation at December 31, 2022.

No.	Account Titles and Explanation	Debit	Credit
1.	enter an account title
	enter an account title
2.	enter an account title
	enter an account title