Requlred Information Problem 7-5A Determine depreciation under three methods (L07-4) [The following information applies to the questions displayed below.) University Car Wash built a deluxe car wash across the street from campus. The new machines cost $234.000 including installation. The company estimates that the equipment will have a residual value of $27000. University Car Wash also estimates it will use the machine for six years or about 12,000 total hours. Actual use per year was as follows: Year 2 3 Hours Used 2,880 1,980 2,000 2.ee 1,800 1,5ee 6 Problem 7-5A Part 1 Problem 7-5A Part 1 Required: 1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your Intermediate calculations.) UNIVERSITY CAR WASH Depreciation Schedule-Straight-Line End of year amounts Depreciation Accumulated Book Value Expense Depreciation Year 1 2 3 4 5 6 Total Problem 7-5A Part 2 2. Prepare a depreciation schedule for six years using the double-declining balance method. (Do not round your intermediate calculations.) UNIVERSITY CAR WASH Depreciation Schedule Double Declining-Balance End of year amounts Depreciation Accumulated Year Book Value Expense Depreciation 1 2 3 4 5 W Total Problem 7-5A Part 3 3. Prepare a depreciation schedule for six years using the activity-based method. (Round your "Depreciation Rate" to 2 decimal places and use this amount in all subsequent calculations.) UNIVERSITY CAR WASH Depreciation Schedule Activity-Based End of year amounts Depreciation Accumulated Book Value Expense Depreciation Year 2 3 4 5 8 Total