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Complete the requirements for each of the following independent cases:

Delso Company purchased the following on January $1,20$x$1$:

Office equipment at a cost of $$59,000$ with an estimated useful life to the company of three years and a residual value of $$17,700.$

The company uses the double$-$declining$-$balance method of depreciation for the equipment.

Factory equipment at an invoice price of $$820,600$ plus shipping costs of $$23,000.$ The equipment has an estimated useful life of

$114,000$ hours and no residual value. The company uses the units$-$of$-$production method of depreciation for the equipment.

A patent at a cost of $$288,000$ with an estimated useful life of $12$ years. The company uses the straight$-$line method of amortization

for intangible assets with no residual value.

The company's year ends on December $31.$

Required:

$1-$a$.$ Prepare a partial depreciation schedule of office equipment for $201,202,$ and $203.$

$1-$b$.$ Prepare a partial depreciation schedule of factory equipment. The company used the equipment for $8,800$ hours in $201,10,000$

hours in $202,$ and $9,700$ hours in $203.$

On January $1,204,$ Sanders altered its corporate strategy dramatically. The company sold the factory equipment for $$710,740$ in

cash. Record the entry related to the sale of the factory equipment.

On January $1,204,$ when the company changed its corporate strategy, the demand for one of its products produced by using the

patent was significantly reduced. Its patent had estimated future cash flows of $$176,000$ and a fair value of $$160,000.$ What would the

company report on the income statement $($account and amount$)$ regarding the patent on January $1,20$x$4?$

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Prepare a partial depreciation schedule of office equipment for $201,202,$ and $203.$

Note: Do not round intermediate calculations.