1. Kemp Company purchased factory equipme freight costs, $1,100; installation wiring an $700; oil lubricants and sup $1,400. The equipm nt with an invoice price of $90,000. Other costs incurred were d foundation, $2,200; material and labor costs in testing equipment, plies to be used with equipment, $500; fire insurance policy covering equipment, ent is estimated to have a $5,000 salvage value at the end of its 8-year useful service life Instructions (a) Com pute the cost of acquiring the equipment. Show the names and amounts from the paragraph above (no expenses) Total the cost (b) If the double-declining-balance method o declining book value would be f depreciation was used, the constant percentage applied to a 2 salvage value at the end of its 5-year useful life Conroy Co mpany purchased a machine at a cost of $90,000. The machine is expected to have a $5,000 Instructions Compute annual depreciation for the first and second years using the (a) straight-line method (b) double-declining-balance method 3. On January 1, 2009, Reyes Company estimated useful purchased a computer system for $25,500. The system had an I life of 5 years and no salvage value. At January 1, 2011, the company revised the remaining years. What amount of depreciation will be recorded for 2011 and 2012? useful life to two