2. ABC Marketing recently bought a machine that cost $80,000. The machine has a 4 year life with a residual value of $6,000. Use the Double-declining method to calculate Depreciation expense for Years 1,2, and 3 3. Acme, Inc. bought land for $100,000 for a manufacturing site. The land included an old warehouse that was torn down and disposed of for a cost of $20,000. Metal was recycled from the rubble and netted $1,000 back to Acme. What value did Acme record the land at in their financial records? 4. Classify each of the following expenditures as a capital or a "revenue expenditure Capital or Rev. Exp. Adding an air purification system to an office building HVAC Purchasing a multi-purpose copy machine Painting the interior walls of an office buiding Installing an overhead crane in a warehouse Replacing the motor of a machine Service call payment to repair copy machine Upgrading CPU in server to extend useful life by 2 years Replacing all light bulbs in a factory Major overhaul of a semi-truck's engine 5. On August 1, Able Co. bought equipment at a cost of $260,000 with a residual value of $20,000 and a useful life of 3 years or 30,000 hours. Using Straight-line method, calculate depreciation expense for the first year, which ends on Dec. 31