[The following information applies to the questions displayed below.] University Car Wash purchased new soap dispensing equipment that cost $228,000 including installation. The company estimates that the equipment will have a residual value of $24,000. University Car Wash also estimates it will use the machine for six years or about 12,000 total hours. Actual use per year was as follows: Year 1 Hours Used 3,000 2 1,700 3 1,800 4 2,200 5 6 2,000 1,300 Required: 1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.) UNIVERSITY CAR WASH Depreciation Schedule-Straight-Line End of Year Amounts Depreciation Year Expense 1 2 3 4 5 6 Accumulated Depreciation Book Value
[The following information applies to the questions displayed below.] University Car Wash purchased new soap dispensing equipment that cost $228,000 including installation. The company estimates that the equipment will have a residual value of $24,000. University Car Wash also estimates it will use the machine for six years or about 12,000 total hours. Actual use per year was as follows: Year 1 Hours Used 3,000 2 1,700 3 1,800 4 2,200 5 6 2,000 1,300 Required: 1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.) UNIVERSITY CAR WASH Depreciation Schedule-Straight-Line End of Year Amounts Depreciation Year Expense 1 2 3 4 5 6 Accumulated Depreciation Book Value
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![[The following information applies to the questions displayed below.]
University Car Wash purchased new soap dispensing equipment that cost $228,000 including installation. The company
estimates that the equipment will have a residual value of $24,000. University Car Wash also estimates it will use the
machine for six years or about 12,000 total hours. Actual use per year was as follows:
Year
1
Hours Used
3,000
2
1,700
3
1,800
4
2,200
5
2,000
6
1,300
Required:
1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.)
UNIVERSITY CAR WASH
Depreciation Schedule-Straight-Line
End of Year Amounts
Depreciation
Year
Expense
1
2
3
4
5
6
Total
$
0
Accumulated
Depreciation
Book Value](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc05c6b41-d261-4bb8-b341-446c7dd22751%2Faa880d18-aac1-4033-8dd5-86c25b06c04a%2F6rjxrgo_processed.png&w=3840&q=75)
Transcribed Image Text:[The following information applies to the questions displayed below.]
University Car Wash purchased new soap dispensing equipment that cost $228,000 including installation. The company
estimates that the equipment will have a residual value of $24,000. University Car Wash also estimates it will use the
machine for six years or about 12,000 total hours. Actual use per year was as follows:
Year
1
Hours Used
3,000
2
1,700
3
1,800
4
2,200
5
2,000
6
1,300
Required:
1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.)
UNIVERSITY CAR WASH
Depreciation Schedule-Straight-Line
End of Year Amounts
Depreciation
Year
Expense
1
2
3
4
5
6
Total
$
0
Accumulated
Depreciation
Book Value
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