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On January 1,2022, Riverbed Company purchased the following two machines for use in its production process. Machine A: The cash price of this machine was

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On January 1,2022, Riverbed Company purchased the following two machines for use in its production process. Machine A: The cash price of this machine was $52,000. Related expenditures also paid in cash included: sales tax $1,900, shipping costs $200, insurance during shipping $60, installation and testing costs $90, and $200 of oil and lubricants to be used with the machinery during its first year of operations. Riverbed estimates that the useful life of the machine is 5 years with a $5,200 salvage value remaining at the end of that time period. Assume that the straight-line method of depreciation is used. Machine B: The recorded cost of this machine was $180,000. Riverbed estimates that the useful life of the machine is 4 years with a $10,000 salvage value remaining at the end of that time period. (a) Your answer is correct. Prepare the following for Machine A. (Round answers to 0 decimal places, es. 5, 125. Lst all debit entries before credit entries. Credit account titles are outomatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Prepare the following for Machine A. (Round answers to 0 decimal places, eg. 5, 125. List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) 1. The journal entry to record its purchase on January 1, 2022. 2. The journal entry to record annual depreciation at December 31,2022. Caiculate the amount of depreciation expense that Riverbed should record for Machine B eachyear of its useful iffe under the following assumptions. (Round depreciation cost per unit to 2 decimal ploces, e3. 12.25. Round final onpwers to 0 decinal ploces, es. 2.125.) (1) Riverbed uses thestraight-line method of depreciation. (2) Riverbed uses the declining-balance method. The rate used is twice the strwith-line rate (3) Riverbed uses the units-of-actwity method and estimates that the useful life of the machine is 113 , 400 units.Actial usage is as follows: 2022,45,000 units; 2023,33,000 units; 2024,21,000 units 2025,14,400 units eTextbook (c)

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