Required information Skip to question [The following information applies to the questions displayed below.] University Car Wash purchased new soap dispensing equipment that cost $225,000 including installation. The company estimates that the equipment will have a residual value of $22,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows: Year Hours Used 1 3,100 2 1,600 3 1,700 4 2,300 5 2,100 6 1,700 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.)