Additional Exercise Cost of Construction Equipment $ 24,000 Estimated Useful Life Years Estimated Salvage Value 5 2,000 $ Hours used during the first year Hours used during the second year Hours used during the third year Hours used during the fourth year Hours used during the fifth year Productive Life in Hours 2,100 1,500 2,600 1,800 2,000 10,000 Year 1 2 Income per year 32,017 44,985 39,346 42,014 40,963 A A A A A 3 4 5 Actions to take: 1. Calculate the depreciation rate per unit 2. Calculate the depreciation using the hours per year 3. Calculate the depreciation and the rate of return using the income per year 4. Calculate the depreciation using the double-declining balance. 5. Calculate the depreciation using sum-of the-years