Xanadu A/S purchased a new machine on October 1, 2020, at a cost of €96,000. The company estimated that the machine will have a residual value of €12,000. The machine is expected to be used for 10,000 working hours during its 5-year life.

Instructions
Compute the depreciation expense under the following methods for the year indicated.
a. Straight-line for 2020.
b. Units-of-activity for 2020, assuming machine usage was 1,700 hours.
c. Declining-balance using double the straight-line rate for 2020 and 2021.