On January 1, 2017, Flounder SA purchased the following two machines for use in its production process Machine A: The cash price of this machine was R$51,300. Related expenditures included: sales tax R$2,500, shipping costs R$180, Insurance during shippine R$60, installation and testing costs R$90, and R$190 of oil and lubricants to be used with the machinery during its first year of operations. Founderestimates that the useful life of the machine is 5 years with a R$4,700 residual value remaining at the end of that time period. Assume that the straight-line method of depredation usest Machine : The recorded cost of this machine was R$273,600. Founderestimates that the useful le of the machine is 4 years with a R$17,100 residual vale remaining at the end of that time period. Prepare the following for Machine A. (Round answers to decimal places, g. 2,125. Credit account titles are automatically indented when amount is entered. Do not Indent manually.) 1. The journal entry to record its purchase on January 1, 2017 2. The Journal entry to record annual depreciation at December 31, 2017 Acties and Explanation Delt 1 2 Calculate the amount of depreciation expense that Hounder should record for Machine Beach year of its useful We under the following assumptions Cower too decimal places 02.125. Round cost per unit to 2 decimal place 1.25.) (1) Flounder uses the straight line method of depreciation (2) Founder uses the declining-balance method. The rate used is twice the straight-line rate. (3) Founder uses the units of activity method and estimates that the useful life of the machine is 150,150 units. Actual usage is as follows: 2017, 50,800 w 2010, 42,150 units: 2019, 32.050 units: 2020, 25,150 units. 2017 2018 2019 2030 RE RS R$ Straight line method Dedining balance method Units-of-activity method RS RS RS RES RS RS RS RS which method used to calculate depreciation on Machine reports the highest amount of depreciation expenses In Year 1 (2017) In Year 4 (2020) Over the 4-year period