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Required information

E$8-6($Algo$)$ Recording Depreciation and Repairs $($Straight$-$Line Depreciation$)$ LO$8-2,8-3$

$[$The following information applies to the questions displayed below.$]$

Manrow Growers, Incorporated, owns equipment for sowing and harvesting its organic fruit, vegetables, and tree nuts that are sold to local restaurants and grocery stores. At the beginning of this year, an asset account for the company showed the following balances:

During the current year, the following expenditures were incurred for the equipment:

Major overhaul of the equipment on January $1$ of the current year that improved

$$41,000$

efficiency

Routine maintenance and repairs on the equipment

$6,000$

The equipment is being depreciated on a straight$-$line basis over an estimated life of eight years with a $$2200$ octimated residual value. The annual accounting period ends on December $31.$