1. Merco Manufacturing Company purchased production equipment on 2018, for $170,000. The equipment was expected to have a useful life of 5 years and a residual value of $10,000. Determine the amount of depreciation expense for the years ended December 31, 2018, 2019, 2020, 2021, 2022 and 2023 using the straight-line method. 2018 2019 2020 2021 2022 2022 2. The depreciation method that does not use residual value in calculating the first year's depreciation expense is: A. declining balance B. straight-line C. units-of-production 3. An asset purchased for $75,000 on June 1,2018 had a residual value of $3,000 and a useful life of six years. What is the book value of the asset when on September 30, 2019? (Assume the straight-line depreciation method is used.) 4. Equipment purchased April 2, 2018 for $80,000 has an estimated residual value of $6,000 and an estimated life of 5 years. What is the amount of depreciation for the second year ending December 31, 2019, using the declining- balance method at double the straight-line rate