While You Wait Copy purchased a new copy machine. The new machine cost $124,000 including installation. The company estimates the equipment will have a residual value of $31,000. While You Wait Copy also estimates it will use the machine for four years or about 8,000 total hours. Actual use per year was as follows:

Year Hours Used 1 2,000 2 2,000 3 2,000 4 3,000

1. Prepare a depreciation schedule for four years using the straight-line method.