Question 3: Mish Manufacturing specializes in making metal plates and pins for the medical industry and purchases a new piece of equipment from Lane Industries in Dallas. The machine was purchased for $110,350 Canadian. Costs to ship the equipment to Canada was $10,050 and non-refundable duty (fees) paid at the border totalled $2,200. Once in Canada, it was found a small part was damaged - as the repair was minor and didn't affect it's operation, the $425 cost was paid by the Mish Manufacturing, the shipping company subsequently refunded them for $400 of the damage. Once fixed, the cost to install the equipment and test it to ensure it was operational totalled $6,800. To pay for the above costs, a loan was taken for $100,000 and the balance was paid with cash. Assume the above transactions occured on January 1, 2022 and the unit was placed into production on January 1, 2022. Their year end is December 31, 2022. Requirements: 1 What is the total cost of the capital asset and what is the entry to record the asset? Regardless of your calculation for #1, use a cost of $140,000 (which is not the answer for the above) for all of the following questions: 2 If the salvage value is $10,000 and useful life is 20 years, what would the amortization expense be using the straight line method for year one and year two assuming it was in use for a full year for both year one and two? 3 If the salvage value and useful life remain the same as in item two, but the unit was placed into production on October 1, 2022, what would the amortization expense be under the straight line method for year one and year two? 4 If the purchase price and residual value remain the same and estimated units of production for the life (in units) of the unit was 520,000 units and had residual value of $10,000, and the units used in year one was 93,900 units and in year two was 158,200 units.