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1. (20 pts) A pharmaceutical company purchased a machine with a life of six years and used the double-declining-balance method of depreciation. If the company

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1. (20 pts) A pharmaceutical company purchased a machine with a life of six years and used the double-declining-balance method of depreciation. If the company had used the straight-line method of depreciation, how would the income statement in year 6 have differed? 2. (20 pts) A camera company has enough capacity to produce 20,000 cameras per year for mobile phones. This year it is producing 10,000 cameras and is planning to produce 15,000 next year. How would the unit and total manufacturing costs change if this plan is implemented, other things being equal

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