Drum Inc. purchases a backhoe on January 1 for $71, 000 to use in its construction business. The company uses the straight line method to depreciate the backhoe. Initially, the backhoe is expected to last 6 years and have a $17, 000 salvage value. What journal entry should the company make on December 31 of the first year to record depreciation on the backhoe. Dr Cr What journal entry should the company make on December 31 of the second year to record depreciation on the backhoe? Dr Cr What is the book value of the backhoe after the first 2 years? $ After 2 years the company realizes the backhoe will not last for four more years. The company changes the expected life to only two more years and changes the salvage value to $10, 000. What journal entry should the company make on December 31 of the third year to record depreciation on the backhoe? Dr Cr