Saddlebrook Co. installed equipment costing $440,000 with an estimated salvage value of $25,000 on September 1, 2012 . The equipment is estimated to have a useful life of 12,000 hours. The equipment was used for 1,200 hours in 2012. Saddlebrook Co. Sold the equipment on December 31, 2012 for $408,200. The equipment will be depreciated using the units -of -output method. Required: 1. Calculate the following. a) the depreciation rate for the equipment per hour. b. Depreciation expense in 2012. c. The gain, or loss on the dale of the equipment. 2. prepare the journal entries to record the following. a. Depreciation in 2012. b. The gain, or loss on the sale of the equipment.

please explained with details- how you got the answers. thank you.