! Required information [The following information applies to the questions displayed below.] Nicole's Getaway Spa (NGS) purchased a hydrotherapy tub system to add to the wellness programs at NGS. The machine was purchased at the beginning of the year at a cost of $12,500. The estimated useful life was five years and the residual value was $1,500. Assume that the estimated productive life of the machine is 10,000 hours. Expected annual production was year 1, 2,200 hours; year 2, 2,350 hours; year 3, 2,350 hours; year 4, 2,100 hours; and year 5, 1,000 hours. 3. Assume NGS sold the hydrotherapy tub system for $3,750 at the end of year 3. The following amounts were forecast for year 3: Sales Revenues $49,000; Cost of Goods Sold $38,000; Other Operating Expenses $4,900; and Interest Expense $1,000. Create an income statement for year 3 for each of the different depreciation methods, ending at Income before Income Tax Expense. (Don't forget to include a loss or gain on disposal for each method.). (Do not round intermediate calculations. Any losses should be indicated with a minus sign. Round your answers to the nearest dollar amount.) Answer is not complete. NICOLE'S GETAWAY SPA (Forecasted) Income Statement For the Year Ended Year 3 Double ! Required information [The following information applies to the questions displayed below.] Nicole's Getaway Spa (NGS) purchased a hydrotherapy tub system to add to the wellness programs at NGS. The machine was purchased at the beginning of the year at a cost of $12,500. The estimated useful life was five years and the residual value was $1,500. Assume that the estimated productive life of the machine is 10,000 hours. Expected annual production was year 1, 2,200 hours; year 2, 2,350 hours; year 3, 2,350 hours; year 4, 2,100 hours; and year 5, 1,000 hours. 3. Assume NGS sold the hydrotherapy tub system for $3,750 at the end of year 3. The following amounts were forecast for year 3: Sales Revenues $49,000; Cost of Goods Sold $38,000; Other Operating Expenses $4,900; and Interest Expense $1,000. Create an income statement for year 3 for each of the different depreciation methods, ending at Income before Income Tax Expense. (Don't forget to include a loss or gain on disposal for each method.). (Do not round intermediate calculations. Any losses should be indicated with a minus sign. Round your answers to the nearest dollar amount.) Answer is not complete. NICOLE'S GETAWAY SPA (Forecasted) Income Statement For the Year Ended Year 3 Double