using the accounts provided here, create an income statement 1. You purchase a commercial refrigerator/freezer for 25,000 and determine that it will have a useful life of 5 years and no residual salvage value. 2. You purchase 50 tables for your restaurant. They each cost $250 and you expect them to last about 4 years and then be sold for a minimal residual value of $10 each. Don't forget to deduct your residual value on these assets before calculating your depreciation. Fill out the following charts for these assets: Refrigerator/Freezer: Year Beg. book Value Depreciation Exp Accum Depr End BV 1 25,000 5,000 5,000 20,000 2 20,000 5,000 10,000 15,000 3 15,000 5,000 15,000 10,000 4 10,000 5,000 20,000 5,000 5 5,000 5,000 25,000 0 Tables: The total cost is 12,500(250*50) and the residual value is 500(10*50). Hence the depreciation will be charged on 2,000(2500-500) over the period of 4 years. Year Beg. book Value Depreciation Exp Accum Depr End BV 1 2,000 500 5,000 1,500 2 1,5000 500 1,000 1,000 3 1,000. 500 1,500 5.00 4 5,000 500 2,000