A company has EBITDA of $29,000, a corporate tax rate of 21%, and annual interest expense of $350. The company purchased a fixed asset at a cost of $85,000; the asset has a 6-year depreciable life and no expected salvage value. The company uses straight line depreciation for financial statements and uses double-declining for tax accounting. Using the values provided and the frameworks below, compute the company's annual depreciation expense under both straight-line and double-declining methods. Then calculate the partial income statement and annual and the cumulative deferred tax account (under each approach). Do not include the first year 1/2 depreciation convention. Straight-line Depreciation Accelerated Depreciation Beginning Year BV Depreciation Expense Ending Year Beginning BV BV Depreciation Expense Ending BV 1 1 2 2 3 3 4 4 5 5 6 6 FINANCIAL REPORTING EBITDA Depreciation (Financial) Interest Expense Reported EBT Reported Income Tax Reported Net Income TAX REPORTING EBITDA Depreciation (Financial) Interest Expense Reported EBT Income Tax Payable Reported Net Income Annual Deferred Tax Cumulative Deferred Tax Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6