Conover Corp. ordered a machine on January $1$ at a purchase price of $$30,980.$ On delivery, January $2,$ the company paid $$8,200$ on the machine and signed a note payable for the balance. On January $3,$ it paid $$270$ for freight on the machine. On January $5,$ Conover paid installation costs relating to the machine amounting to $$1,600.$ On December $31($the end of the accounting period$),$ Conover recorded depreciation on the machine using the straight$-$line method with an estimated useful life of ten years and an estimated residual value of $$2,850.$

Required:

$1.$ Indicate the effects $($accounts$,$ amounts$)$ of each transaction $($on January $1,2,3,$ and $5)$ on the accounting equation. Use the following schedule: $($Enter any decreases to accounts with a minus sign.$)$

$2.$ Compute the acquisition cost of the machine.

$3.$ Compute the depreciation expense to be reported for the first year.

$4.$ What should be the book value of the machine at the end of the second year?