8. (4 points) Machinery purchased for $800,000 by Tom Brady Co. in 2015 was originally estimated to have a life of 12 years with a salvage value of $20,000 at the end of that time. Depreciation has been recorded for 8 years on this basis. In 2023, it is determined that the total estimated life should be 16 years with a salvage value of $10,000 at the end of that time. Assume straight-line depreciation. Instructions (a) Determine the depreciation expense for 2023. 9. (6 points) A building was constructed last year for Agro Co. for use as a production facility. Construction began on January 1 and was completed on December 31. The payments to the contractor were as follows. To finance construction of the building, a $1,500,000,12% construction loan was taken out on January 1 . The loan was repaid on December 31. The firm had two sources of general debt: $800,000 note payable, 8% annual interest, and $1,200,000 par value bonds, 10% annual interest. Determine the amount of interest to be capitalized