2 Crane Company purchased equipment for $7150 on December 1. It is estimated that annual depreciation on the equipment will be $1560. If financial statements are to be prepared on December 31, the company should make the following adjusting entry: Debit Depreciation Expense, $1560; Credit Accumulated Depreciation, $1560. Debit Equipment, $7150, Credit Accumulated Depreciation, $7150. Debit Depreciation Expense, $130; Credit Accumulated Depreciation, $130. O Debit Depreciation Expense, $5590; Credit Accumulated Depreciation, $5590