Mean Beans, a local coffee shop, has the following assets on January 1, 2023. Mean Beans prepares annual financial statements and has a December 31, 2023 year-end. The company's depreciation policy is to use the straight-line method to depreciate its assets. a. On January 1,2023 , purchase equipment costing $21,600 with an estimated life of five years. Mean Beans will scrap the equipment after five years for $0. b. On July 1,2023, purchase furniture (tables and chairs) costing $16,000 with an estimated life of ten years. Mean Beans estimates that it can sell the furniture for $1,600 after ten years. c. On January 1, 2021, Mean Beans had purchased a car costing $27,250 with an estimated life of eight years. Mean Beans estimates that it can sell the car for $5,450 after eight years. Required: 1-a. For each transaction, calculate the current year's annual depreciation expense. 1-b. For each transaction, record the adjusting entry on December 31, 2023. Journal entry worksheet 3 Record annual depreciation on equipment. Note: Enter debits before credits. 2. For the car, determine the accumulated depreciation as of December 31, 2023. 3. For the car, determine the book value as of December 31, 2023. References Worksheet Learning Objective: 03-04 Prepare and explain adjusting entries for prepaid expenses, depreciation, unearned revenues, accrued expenses, and accrued revenues