Brazil Group purchases a tractor at a cost of ‚¬50,000 on January 2, 2019. Individual components of the tractor and useful lives are as follows (zero residual value).

Instructions
a. Compute depreciation expense for 2019, assuming Brazil depreciates the tractor as a single unit.
b. Compute depreciation expense for 2019, assuming Brazil uses component depreciation.
c. Why might a company want to use component depreciation to depreciate its assets?

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Cost Useful Lives € 6,000 Tires 2 years Transmission 10,000 5 years 10 years Tractor 34,000