3. A new machine has an initial cost of $300,000, an estimated useful life of 2000 hours of use over a 3- year period, and

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3. A new machine has an initial cost of $300,000, an estimated useful life of 2000 hours of use over a 3- year period, and an estimated residual value of S70000. Usage rates are estimated as 500 hours in the first year, 700 hours in the second year, and 800 hours in the third year. What is the depreciation expense in Year 2 under the units-of-production method of depreciation? Show the journal entries