1. If an asset is placed in service at a cost of $50,000, is expected to be useful for 5 years and then be sold for a residual value of $10,000. What amount of depreciation expense would be recognized each year during the five years of useful life if the company uses the straight-line method ?

2.Badger Mtn Ski resort purchases a snow making machine to be sure that they will be able to open the resort by thanksgiving weekend each year and ti fill in if natural snowfall during the season is not adequate. the machine cost 150,000 sales tax is 9000 and badger Mtn pays another 3000 to get the machine installed and ready. what is the cost on the ski equipment that should show up on the balance sheet in an equipment asset account?