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P1. The Jojo Journal is a local daily newspaper that prints both the daily paper and other advertising and marketing materials. On January 1, Jojo purchased a used printing press for $925,000. Based on past experience and reliability information about printing presses, Jojo expects the printing press to last five years and print approximately 240,000 copies. At the end of its useful life to the company, Jojo estimates a resale value of approximately $225,000 for the press. Calculate depreciation using the straight-line method. Determine the annual depreciation expense for the printing press using the straight-line method. Prepare a schedule that illustrates annual depreciation expense. Prepare the journal entry to record the first year of depreciation expense. (See slide 13 in lecture 10.0 for an example schedule.) . Calculate depreciation using the units-of-production method. Determine the annual depreciation expense for the printing press using the units-of-production method. Prepare a schedule that illustrates annual depreciation expense assuming the following usage: 45,000 copies in year one; 55,000 copies in year two; 40,000 copies in year three; 50,000 copies in year four; and 42,000 copies in year five. Prepare the journal entry to record the first year of depreciation expense. (See slide 16 in lecture 10.0 for an example schedule.)

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