1.

[The following information applies to the questions displayed below.] NewTech purchases computer equipment for $263,000 to use in operating activities for the next four years. It estimates the equipments salvage value at $24,000.

Part 1

Prepare a table showing depreciation and book value for each of the four years assuming straight-line depreciation.

Straight-Line Depreciation
	Choose Numerator	/	Choose Denominator	=	Annual Depreciation Expense
	Beginning book value, Cost or Cost minus salvage	/	Double the SL rate, Estimated Useful Life (years) or Total Units of production	=	Depreciation Expense
		/		=	$
Year	Annual Depreciation		Year - End Book Value
Year 1
Year 2
Year 3
Year 4
Total	$

Part 2

Prepare a table showing depreciation and book value for each of the four years assuming double-declining-balance depreciation. (Enter all amounts positive values.)

	Depreciation for the Period			End of Period
Year	Beginning-Year Book Value	Depreciation Rate	Annual Depreciation	Accumulated Depreciation	Year-End Book Value
Year 1
Year 2
Year 3
Year 4
Totals			$