At the beginning of Year Copeland Drugstore purchased new computer system for \$240,000 . It expected to have a fiveyear and a $40.000 salvage value

Problem: Module 2 Textbook Problem 14 Learning Objectives: 2-9 Calculate straight-line depreciation and show how it affects financial statements 2-10 Calculate double-declining-balance depreciation and show how it affects financial statements At the beginning of Year 1, Copeland Drugstore purchased a new computer system for $240,000. It is expected to have a five-year life and a $40,000 salvage value Required a. Compute the depreciation for each of the five years, assuming that the company uses (1) Straight line depreciation (2) Double declining-balance depreciation b. Record the purchase of the computer system and the depreciation expense for the first year under straight line and double declining balance methods in a financial statements model b. Record the purchase of the computer system and the depreciation expense for the first year under straight-line and double declining balance methods in a financial statements model Complete this question by entering your answers in the tabs below. Reg A1 | Reg A2 Rege Compute the depreciation for each of the five years, assuming that the company uses straight-line depredation. Straight line Depreciation Year 1 Year 2 Your Year 4 Year 5 b. Record the purchase of the computer system and the depreciation expense for the first year under straight-line and double declining balance methods in a financial statements model Complete this question by entering your answers in the tabs below. Roq A1 Reg A2 ReqB Compute the depreciation for each of the five years, assuming that the company uses double declining balance depreciation (Leave no cells blank - be certain to enter "o" wherever required.) Double Declining Balance Year 1 Year 2 Year 3 Year 4 Year 5 Req A1 Reg A2 ReqB Record the purchase of the computer system and the depreciation expense for the first year under straight line and double-declining balance methods in a financial statements model. (In the Cash Flow column, indicate whether the item is an operating activity (OA), an investing activity (TA), or a financing activity (FA). If an element is not affected by the event, leave the cell blank. Enter any decreases to account balances and cash outflows with a minus sign. Not all cells will require entry) Show less Balance Sheet COPELAND DRUGSTORE Horizontal Statements Model Income Statement Stockholders Equity Net Rovanie Rotainud Expenses Income Earnings Assets Statement of Cash Flows Book Value of Gash Computer System Purchase of computer system Straight-Line Depreciation Double Declining Balance Depreciation Req AZ