You have been hired by Patterson Planning Corp., an events planning company that recently had a fire in which some of the accounting records were damaged.

In reviewing the fixed asset records, you find three depreciation schedules that are not labeled. They are listed in the following table. One of the assets has a depreciation rate of $4.30 per hour.

Year	Schedule A	Schedule B	Schedule C
1	$8,000.00	$10,125.00	$8,600.00
2	4,800.00	13,500.00	6,450.00
3	2,880.00	13,500.00	7,310.00
4	1,728.00	13,500.00	6,450.00
5	592.00	3,375.00	4,300.00
6			6,880.00
7			4,730.00
8
Total	$18,000.00	$54,000.00	$44,720.00

2. For each of the depreciation schedules shown on the Patterson Planning Corp. panel, fill in the following information. Leave any cells blank that cannot be determined from the depreciation schedule.

	A	B	C
Useful life
Residual value
Asset cost
Total operating hours

1. How would you adjust Schedule B if, at the beginning of Year 3, the asset was estimated to have 5 more years of life remaining, but with a residual value that was $1,500 higher?

The total depreciation for this asset now will be $_________ . The depreciation amount for Year 3 will be $__________ .

2. What is the difference between the journal entries for discarding or selling a fixed asset? 

3. Complete the following sentences about depreciation.