Australian batsman Shaun Marsh, who was dropped from the team on account of poor form, answered the selectors with his unbeaten 126, helping Australia reach 442/8 on Day Two of the day-night Ashes test in Adelaide, on Sunday.
Marsh survived an lbw decision on 29 and lost three batting partners on his way to his fifth test century and first against England.
Handscomb (36) was suspended on the third ball of the day by Stuart Broad.
Coming to bat on number six, Tim Paine built a stable partnership with Marsh and posted his third Test half-century, and first since 2010.
However, Paine was sent back by Craig Overton, who on Day One created highlights by taking the wicket of the world no. 1 Steve Smith to claim his first ever international wicket.
The only wicket to fall in the session came early, when Mitchell Starc was caught out on a bouncer from Broad.
Australia's lower order performed well and thwarted England's hopes of limiting them within 400.
Pat Cummins also elevated Australia's score by giving a significant contribution of 44 runs before giving debutante Overton his third wicket of the innings.
Australia declared after building 442 at loss of eight wickets.
At the time of filing this report, England was trailing behind Australia by 413 runs with nine wickets remaining and Alastair Cook and James Vince were batting at 11 and 0, respectively.