Atwater Manufacturing Company purchased a new machine that was specially built to perform one particular function on the assembly line. A difference of opinion has arisen as to the method of depreciation to be used in connection with this machine. Three methods are now being considered: the straight-line method, the productive-output method, and the sum-of-the-years'-digits method.

Can you describe each of the 3 methods?

Can you discuss separately the arguments for and against each of the proposed methods from both the theoretical and practical viewpoints.

If you could choose one of the methods, which one would it be?