Required information [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 $219,000 including installation. The company estimates that the equipment will have a residual value of $19,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows: Year Hours Used 2,800 1,400 1,500 2,500 2,300 2,000 2 4 5 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 Expense Accumulated Year Book Value Depreciation 3 4 6. Total

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Required information
[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 $219,000 including
installation. The company estimates that the equipment will have a residual value of $19,500. University Car Wash also
estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows:
Year
Hours Used
2,800
1,400
1,500
2,500
2,300
2,000
2
4
5
Expand
Transcribed Image Text

Required information [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 $219,000 including installation. The company estimates that the equipment will have a residual value of $19,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows: Year Hours Used 2,800 1,400 1,500 2,500 2,300 2,000 2 4 5

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
Expense
Accumulated
Year
Book Value
Depreciation
3
4
6.
Total
Expand
Transcribed Image Text

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 Expense Accumulated Year Book Value Depreciation 3 4 6. Total

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