Required 1. Assume that Business Solutions does not acquire additional office equipment or computer equipment in 2020. Compute amounts for the year ended December 31, 2020, for Depreciation Expense-Office Equipment and for Depreciation Expense-Computer Equipment (assume use of the straight-line method). 2. Given the assumptions in part 1, what is the book value of both the office equipment and the computer equipment as of December 31, 2020? 3. Compute the three-month total asset turnover for Business Solutions as of March 31, 2020. Use total revenue for the numerator and average the December 31, 2019, total assets and the March 31, 2020, total assets for the denominator. Interpret its total asset turnover if competitors average 2.5 for annual periods. (Round turnover to two decimals.) Check (3) Three-month (annual) turnover = 0.43 (1.73 annual) For Three Months Ended December 31, 2019 For Three Months Ended March 31, 2020 $ 8,000 $ 8,000 400 800 Office equipment Accumulated depreciation Office equipment Computer equipment Accumulated depreciation-Computer equipment Total revenue 20,000 20,000 1,250 2,500 31,284 44,000 Total assets 83,460 120,268 Chapter 10 Serial Problem Part 1 Annual Depreciation Expense - Office Equipment Annual Depreciation Expense - Computer Equipment $1,600 $5,000 Part 2 Office Equipment Accumulated Depreciation Office Equipment (book Value) ######### $8,000 $400 $7,600 ###### $8,000 $2,000 $6,000 Computer Equipment Accumulated Depreciation Computer Equipment (book Value) ### $20,000 $1,250 $18,750 $20,000 $6,250 $13,750 Part 3 Total Asset Turnover = Net Sales / Average Total Assets Net Sales Total Assets 12/31/2019 Total Assets 03/31/2020 Average Total Assets Total Asset Turnover 0.43 times Estimated annual Total Asset Turnover Industry Standard Total Asset Turnover 1.72 2.50 times times How does Business Solutions compare to the industry