Alley Katt purchased a machine on January 1, 2014, for $750,000. The machine's life is estimated at 5 years or 50,000 hours with a residual value of $75,000. During years 1 to 5 respectively the machine was used 15,000; 14,000; 10,000: 9,000; and 6,000 hours, 1. Calculate the annual depreciation expense for the first two years for each of the three depreciation methods: straight- line, units of production, and double-declining balance. (Show your calculations) 2. Prepare the journal entry for the first year ONLY for the straight-line depreciation method