At the beginning of the year, Young Company purchased three used machines from Vince, Inc. The machines were immediately overhauled, installed and started working. Since the machines were different, each was recorded in separate accounts.

	machine a			Machine B			Machine C
The amount paid for the asset	$	7,600		$	25,600		$	9,300
Installation costs		200			600			500
Pre-use renewal costs		1,500			1,200			1,000
Repairs after production starts		400			350			325

At the end of the first year, each machine was running 7,000 hours.

Necessary:

Calculate the cost of each machine.

Prepare the journal entry to post depreciation expense at the end of year 1, assuming the following:

	predictions
machine	Hayat	Residual Value				Depreciation Method
A	5 years		$	600		Right
B	40,000 seconds			1.000		production units
C	6 years			2.000		Double declining balance