- Company A purchased an equipment for $7,200 on 1/1/2016. The equipment has 5 years of expected life and residual value of $1,000 - Company A uses unit of production method, with expected production totaling 62,000 units. - During the first year, the machine produced 24,000 units. - The company changed estimates, at the end of first year, saying the equipment can only produce another 19,000 units. - During year 2 , the machine produced 15,000 units. - Determine the depreciation expense \& carrying value of the equipment, at the end of the second year