led The following information relates to Riggs Corp.'s purchase of equipment on 15 June 20X7: Invoice price $ 498,000 Discount for early payment (if paid by 30 2,550 June) Shipping costs Installation Testing 5,600 5,400 10,800 The equipment was installed and tested during the week of 22 June 20X7. Riggs paid the invoice price on 1 July 20X7. The equipment was ready for use on 30 June and put into production on 3 July 20X7. Riggs uses straight-line depreciation for the company's equipment and expects to use the asset for six years. Component parts are not significant and need not be recognized and depreciated separately. The estimated residual value is zero. The company's fiscal year-end is 31 December. Required: 1. What is the book value of the equipment after installation? Book value of the equipment after installation $519,800 2. Compute depreciation expense for 20X7, using the straight-line method, calculating depreciation to the nearest month. (Round your answers to nearest whole dollars.)