On January 1, Hawaiian Specialty Foods purchased equipment for $36,000. Residual value at the end of an estimated four-year service life is expected to be $3,500. The machine operated for 3,160 hours in the first year, and the company expects the machine to operate for a total of 26,000 hours.

Record depreciation expense for each of the first two years using the straight-line method. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)

On January 1, Hawailan Specialty Foods purchased equipment for $36,000. Residual value at the end of an estimated fourlife is expected to be $3,500. The machine operated for 3,160 hours in the first year, and the company expects the machine to service for a total of 26,000 hours. Record depreciation expense for each of the first two years using the straight-line method. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)