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1. For a country that allows switching depreciation methods between declining balance (not DDB) and straight line, determine the difference in depreciation for year 2

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1. For a country that allows switching depreciation methods between declining balance (not DDB) and straight line, determine the difference in depreciation for year 2 between the two methods and determine if a switch is advisable, according to the general rules of switching. The asset has a first cost of $100,000, a 5-year recovery period, a $10,000 salvage value, and d = 1. Fill in the table below (actual values) to visualize your determination. DB Model SL Model Yeart SD $BV, $D. Larger$ D. 0

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