5. General Motors invested $50,000 for R&D equipment. GE is certain that this investment will have no salvage value at the end of its 5-year life.

a. Compute the depreciation schedule that shows depreciation charge and book value over the equipments 5-year useful life using: (i) Straight line (ii) Double declining balance (iii) Modified accelerated cost recovery system b. Find the PW of each depreciation schedule if the interest rate is 5%.