Question 3 (12 points) On January 1, 2018, Paving Corp. purchased equipment. They have a December 31st year-end and the following information was available: Cost $350,000 Estimated residual value $ 50,000 Estimated useful life 5 years The machine is expected to produce a total of 500,000 units over the next 5 years, as follows: ho 60,000 units in 2018 70,000 units in 2019 150,000 units in 2020 180,000 units in 2021 40,000 units in 2022 REQUIRED: 1. Calculate the depreciation expense for 2018 using the straight-line method. 2. Calculate the book value (carrying amount) on December 31, 2019 assuming the straight-line method of deprecation was used. 3. Calculate the depreciation expense for 2018 assuming the units-of- production method of depreciation was used. 4. Record the depreciation expense for 2021 using the units of production method of depreciation 150,000 units in 2020 180,000 units in 2021 40,000 units in 2022 REQUIRED: 1. Calculate the depreciation expense for 2018 using the straight-line method. 2. Calculate the book value (carrying amount) on December 31, 2019 assuming the straight-line method of deprecation was used. 3. Calculate the depreciation expense for 2018 assuming the units-of- production method of depreciation was used. 4. Record the depreciation expense for 2021 using the units of production method of depreciation. 5. Calculate the depreciation expense for 2018 using the double-diminishing- balance method of depreciation. 6. Calculate the depreciation expense for 2019 using the double-diminishing- balance method of depreciation. 7. Calculate the depreciation expense for 2018 assuming the machine was purchased on October 1, 2018 using the straight-line method of depreciation. 8. What method should Paving Corporation use to depreciate this equipment? Note: Once you click in the table below, you can drag the dotted triangle at the bottom right corner of the text editor window to make it bigger. If you accidentally delete the below table, you can add a new one using the rich-text editor, or try to make your answer as clear as possible using paragraphs and spaces. Question 6 (10 points) Saved Supreme Consulting prepares adjusting entries monthly. Based on an analysis of the unadjusted trial balances at January 31, 2018, the following information was available for preparation of the January 31, 2018 month-end adjusting entries. a. Of the $11,800 balance in Unearned Consulting Revenue, $9,100 had been earned. b. The Prepaid Rent account showed a balance of $14,700. This was paid on January 1 of this accounting period and represents six months of rent commencing of the same date. C. Accrued salaries at January 31 totaled $18,900. d. One month of interest had accrued at the rate of 3% per year on a $50,000 note payable. e. Unrecorded and uncollected consulting revenue at month-end were $6,350. f. A $6,930 insurance policy was purchased on April 1, 2017 of the current accounting period and debited to the Prepaid Insurance account. Coverage began April 1, 2017 and was for 18 months g. The Store Supplies account had a balance of $840 at the beginning of January. During January, $1,820 of supplies were purchased and debited to the Store Supplies account. At month-end, a count of the supplies revealed a balance of $690. h. On March 1, 2017 a new building was purchased. The building had a cost of $400,000 and was said to have a useful life of 40 years. The company estimated that after 40 years it would have a value of $100,000. REQUIRED: Prepare adjusting journal entries for the month ended January 31, 2018. Omit explanations. Note: Once you click in the table below, you can drag the dotted triangle at the bottom right corner of the text editor window to make it bigger. If you accidentally Note: Once you click in the table below, you can drag the dotted triangle at the bottom right corner of the text editor window to make it bigger. If you accidentally delete the below table, you can add a new one using the rich-text editor, or try to make your answer as clear as possible using paragraphs and spaces. Format B. 1 U ... Letter Account Titles Debit Credit a. b. C. . d. e . f. g. h