Fern Company purchased factory cquipment with an lirvolce price of 5125.000. Other costs incurred were. freight costs, 5.1,200; inctaliation, 5.2,300; muterial and tabor costs in testing equipment, 5700 : oil lubricants and supplles to be used with equipment, $800; insurance during transit, $1,050. The equipment is estimated to have an 55,000 salvage value at the end of its 10 -year useful service life. Requirements: 1) Compute the acquisition cost of the equipment. Clearly identify each efement of cost. 2) Using the double declining bolance method: al calculate and prepare the journal entry for depreciation expense for the thind year