Question $3$ Partially correct

Mark $0\mathrm{.}40$ out of $0\mathrm{.}80$

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Recording and Preparing Schedule Using Sums$-$of$-$the$-$Years'$-$Digits Method Depreciation, Partial Year

A fixed asset was purchased October $1$ of Year $1,$ costing $$40,000,$ with a residual value of $$8,000$ and an estimated three$-$year useful life.

Required

a$.$ Prepare a schedule of depreciation that shows annual depreciation expense, and year$-$end accumulated depreciation and book value, over the useful life of the asset assuming that the company depreciates the asset using sum of$-$the$-$years'$-$digits method.

b$.$ Record the entry to recognize depreciation for the year ended December $31$ of Year $1.$

c$.$ Record the entry to recognize depreciation for the year ended December $31$ of Year $2.$

Note: Carry all decimals in calculations; round all final answers to the nearest dollar.

a$.$

$\backslash$table$[[\backslash$table$[[$Reporting$],[$Period$]],$For the Period,End of the Period$],[$Depreciation Expense,$\backslash$table$[[$Accumulated$],[$Depreciation$]],,\backslash$table$[[$Book$],[$Value$]]],[$Year $1,$$ $4,000$ V$,$$ $4,000$ v$,$$$,36,000],[$Year $2,16,000,20,000$ x$,,20,000$ x$],[$Year $3,10,667$ x$,30,667$ x$,,9,333],[$Year $4,4,000,32,000,,5,333]]$

b$.$

c$.$