Pharoah Company purchased equipment on January $1,2025$ for $$94,500.$ It is estimated that the equipment will have a $$5,250$

salvage value at the end of its $5-$year useful life. It is also estimated that the equipment will produce $105,000$ units over its $5-$year life.

Answer the following independent questions.

$($a$)$

Your answer is correct.

Compute the amount of depreciation expense for the year ended December $31,2025$ using the straight$-$line method of

depreciation.

Straight$-$line method

eTextbook and Media

List of Accounts

Attempts: $1$ of $3$ used

$($b$)$

Your answer is correct.

If $14,500$ units of product are produced in $2025$ and $22,500$ units are produced in $2026,$ what is the book value of the equipment

at December $31,2026?$ The company uses the units$-$of$-$activity depreciation method.

Book value at December $31,2026$

eTextbook and Media

List of Accounts

$($c$)$

If the company uses the double$-$declining$-$balance method of depreciation, what is the balance of the Accumulated Depreciation$-$

Equipment account at December $31,2027?$

Accumulated depreciation$-$equipment