Bluewater Ferries uses straight-line depreciation and records all equipment in a single Equipment account, with a matching "Accumulated Depreciation - Equipment" account. During 2025 it bought two assets, both paid in cash:
| Date | Asset | Cost | Useful Life | Residual Value |
|---|
| January 1 | Delivery van | $24,000 | 5 years | $4,000 |
| July 1 | Packaging machine | $9,000 | 4 years | $0 |
Required:
- Record the purchase of each asset on its purchase date.
- Record the depreciation adjusting entries at December 31, 2025 — one entry per asset. Remember the machine was owned for only half of the year.