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A machine that cost $400,000 has an estimated residual value of $40,000 and an estimated useful life of four years. The company uses straight-line depreciation.

A machine that cost $400,000 has an estimated residual value of $40,000 and an estimated useful life of four years. The company uses straight-line depreciation. Required:

1. Calculate the machine's depreciable cost.

2. Calculate the amount of depreciation expense that will be taken on the machine each year.

3. Calculate the machine's accumulated depreciation and book value at the end of each year.

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