APB-3 Computing a Basket Purchase Allocation, and Recording Depreciation under Three Alternative Methods (8-4)LO8-2,8-3 At the beginning of the year, Labinaki Inc. bought three used machines from Santoro Corporation for a total cash price of $62,000. Transportation costs on the machines were $1.000. The immediately overhauled and installed, and started operating. The machines were different, therefore, each had to be recorded separately in the accounts. An appraiser was requested to eth value at the date of purchase (pelor to the overhaul and installation). The carrying amounts shown on Santoro's books are also available. The carrying amounts, appraisal renovation expenditures follow installation, and Machine A Machine Machine C Carrying amount on Santoro's books Appraisal val $10,500 $25,000 $36,000 11.500 32,000 26.500 Installation costs Renovation costs prior to use 800 1,100 1,100 600 1,400 1.600 By the end of the first year, each machine had been operating 7,000 hours Required basis used Corpule the cost of each machine by making a supportable allocation of the total cost to the three machines Cound your calculations to two decimal places). Explain the rat for the allocation 2 Prepare the entry to record depreciation expense at the end of year 1, aming the following Estimate Machine Life Residual Value Depreciation Method A $1000 Straight " 35,000 h 2000 Units of productio 4 years 1.100 Double declining balance