Pool Corporation, Inc., is the world’s largest wholesale distributor of swimming pool supplies and equipment. Assume Pool Corporation purchased for cash new loading equipment for the warehouse on January 1, 2014, at an invoice price of $72,000. It also paid $2,000 for freight on the equipment, $1,300 to prepare the equipment for use in the warehouse, and $800 for insurance to cover the equipment during operation in 2014. The equipment was estimated to have a residual value of $3,300 and be used over three years or 24,000 hours.

Required:
1. Record the purchase of the equipment, freight, preparation costs, and insurance on January 1, 2014.
2. Create a depreciation schedule assuming Pool Corporation uses the straight-line method.
3. Create a depreciation schedule assuming Pool Corporation uses the double-declining-balance method. Round answers to the nearest dollar.
4. Create a depreciation schedule assuming Pool Corporation uses the units-of-production method, with actual production of 8,000 hours in 2014, 7,400 hours in 2015, and 8,600 hours in 2016.
5. On December 31, 2015, the equipment was sold for $22,500. Record the sale of the equipment assuming the company used the straight-line method.