A company purchased a machine on January 1 of the current year for $750,000. Calculate the annual depreciation expense for each year of the machine's life (estimated at 5 years or 20,000 hours, with a salvage value of $75,000). During the machine's 5-year life its hourly usage was: 3,000; 4,000; 5,000; 5,000; and 3,000 hours.

Required:

Compute the depreciation expense relating to the machine for the 5 Years using the following depreciation methods:

a. Straight-line.

b. Double-declining-balance.

c. Units-of-production.