Use the following information for the next two questions. On January 1, a company vehicle with a useful life of eight years and a residual value of $1,000 was purchased for $25,000. 3. What is the depreciation expense in year 3 under straight- line depreciation? 4. What is the depreciation expense in year 1 using the double -declining-balance method? 5. An asset that costs $7,000 and has accumulated depreciation of $5,200 is sold for $1,000. The ensuing journal entry should be