Assume that early in year 1, Qadir Company purchased equipment at a cost of $ 500,000. Management expects the equipment to remain in service for five years, with zero residual value and an income tax rate of 40%. Earnings of the company (before depreciation on the new plant and before income taxes) is projected at: $450,000 in Year 1; $500,000 in Year 2; $600,000 in Year 3; and $750,000 in Year 4. The company can use straight-line, or double declining- balance depreciation for the new plant. Required: Compute the separate effect that each of these two methods of depreciation for 4 years would have on: a. Depreciation b. Income taxes c. Net income d. Cash flow (assumed equal to net income before depreciation)