4. On January 12024, Foodie Company purchased factory equipment for P3,000,000. The estimated useful life of the equipment is 5 years and will be depreciated using the 150% declining balance method. What is the carrying amount of the equipment at the end of 2025? (2 Points) Enter your answer

## Step 1: Calculate the Depreciation Rate### The depreciation rate for the declining balance method is calculated as . For a useful life of 5 years, this becomes .## Step 2: Calculate Depreciation for 2024### The depreciation expense for the first year (2024) is calculated by multiplying the initial cost by the depreciation rate. Thus, .## Step 3: Calculate Carrying Amount at End of 2024### Subtract the depreciation expense from the initial cost to find the carrying amount at the end of 2024: .## Step 4: Calculate Depreciation for 2025### The depreciation expense for the second year (2025) is calculated by multiplying the carrying amount at the end of 2024 by the depreciation rate. Thus, .## Step 5: Calculate Carrying Amount at End of 2025### Subtract the depreciation expense for 2025 from the carrying amount at the end of 2024 to find the carrying amount at the end of 2025: .