A B C D E F G H 2 Deluxe Ezra Company purchases equipment on January 1, Year 1. The following information is provided 3 concerning the acquisition. 4 5 6 7 8 9 Cost of equipment Estimated service life in years Salvage value S 469,000 12 S 40,000 Instructions: 10 (a) Compute the amount of depreciation for each Years I through 3 using the straight-line depreciation method. Straight-line method depreciation for each of Years 1 through 3: 11 12 13 15 16 17 18 19 20 456789 14 Year 1 Year 2 Year 3 35,750 35,750 35,750 22 23 24 Using Excel's SLN function: 21 (b) Compute the amount of depreciation for each Years 1 through 3 using the sum-of-years digits depreciation method. Sum-of-years' digits= 78 25 26 27 Year Fraction Value Depreciation 28 1 29 30 2 31 2 3 3 34569 88 Using Excel's SYD function: Year 1 Year 2 Year 3