Depreciation Calculations On January 1, 2008, MAC Corporation purchased a machine for $60,000. The machine cost

$800 to deliver and $2,000 to install. At the end of 10 years, MAC expects to sell the machine for $2,000. Compute depreciation expense for 2008 and 2009 using the following methods:

1. Double-declining-balance.

2. 150% declining-balance.

3. Sum-of-the-years’-digits.