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Required information Problem 7-5A Determine depreciation under three methods (L07-4) [The following information applies to the questions displayed below) University Car Wash built a deluxe car wash across the street from campus. The new machines cost $246,000 including installation. The company estimates that the equipment will have a residual value of $27,000. University Car Wash also estimates it will use the machine for six years or about 12,000 total hours. Actual use per year was as follows: Year Hours Used 2.800 1,900 2.000 4. 2,800 5 1,800 6 1,500 1 2 Problem 7-5A Part 1 Required: 1. Prepare a depreciation schedule for six years using the straightline method. (Do not round your intermediate calculations.) UNIVERSITY CAR WASH Depreciation Schedule Straight-Line End of year amounts tv MacBook Air 80 888 $ - % 5 2 3 6 7 8 9 0 W E R T Y 0 P S D F G H of 3 Problem 7.5A Part 1 Required: 1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.) oped Book UNIVERSITY CAR WASH Depreciation Schedule Straight-Line End of year amounts Depreciation Accumulated Book Value Expense Depreciation Year rences 1 2. 3 4 5 6 Total Problem 7-5A Part 2 2. Prepare a depreciation schedule for six years using the double-declining balance method. (Do not round your intermediate calculations.) UNIVERSITY CAR WASH Depreciation Schedule-Double-Declining-Balance End of year amounts Depreciation Accumulated Book Value Expense Depreciation Year 1 2 3 4 5 6 Total Problem 7-5A Part 3 3. Prepare a depreciation schedule for six years using the activity-based method. (Round your "Depreciation Rate" to 2 decimal places and use this amount in all subsequent calculations.) UNIVERSITY CAR WASH Depreciation Schedule-Activity-Based End of year amounts Depreciation Accumulated Expense Depreciation Book Value Year 1 2. 3 4 5 6 Total