On January 1, 2020, Star Inc. purchased equipment for the new plant. The company paid $381,000 for the new equipment. Assume the company uses the double-declining balance method to depreciate the equipment and that the machines have an expected useful life of 4 years with no residual value.

Do not enter dollar signs or commas in the input boxes.
Round all answers to the nearest whole dollar.

a) Prepare the following schedule to record the depreciation expense, accumulated depreciation and net book value for the 4 years.

Year	Beginning of Year Book Value	Depreciation Expense	Accumulated Depreciation to Date	Net Book Value
2020	Answer	Answer	Answer	Answer
2021	Answer	Answer	Answer	Answer
2022	Answer	Answer	Answer	Answer
2023	Answer	Answer	Answer	Answer

b) Give the journal entry to record depreciation expense at the end of 2021.

Date	Description	Debit	Credit
Dec 31	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationCashDepreciation ExpenseRent ExpenseSalaries ExpenseSales RevenueSupplies ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationCashDepreciation ExpenseRent ExpenseSalaries ExpenseSales RevenueSupplies ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer
	To record depreciation expense for 2021

Answer rating: 100% (QA)

First we will calculate the depreciation expense As the company is using the doubledeclining balance ... View the full answer