1. Z Corp. purchased new equipment for $900,000. Other costs connected with the purchase were as follows. The equipment has a useful life of 5 years and is expected to have a value of $140,000 at the end of five years. Required: 1. Determine the capitalized cost of the equipment. 2. Calculate the equipment's depreciation using the straight line and Double Declining balance methods if the equipment is used for five years. 3. Assume the equipment is sold after the end of the third year for $425.000. Calculate the gain or loss on the sale using both methods of depreciation