B10 A fx 1 Instructions: On January 1, 2018, Doofenshmirtz Evil Incorporated purchased an "Accounting-inator." This piece of equipment was bought to help takeover the 2 Tri-State Area. Doofenshmirtz Evil Incorporated bought the equipment for $240,000. The equipment is expected to last five years, but it will be completely unusable after its life and have a $0 salvage value (thanks to Perry the Platypus). For tax purposes, Doofenshmirtz wants use the depreciation method that 4 leads to the higher expense in 2020. Complete both of the tables and determine which method Doofenshmirtz should use. 5 6 7 8 Straight-Line Depreciation Schedule 9 Year Depreciation Accumulated Depreciation Book Value 10 2018 $ $ 240,000 11 2019 $ $ 240,000 12 2020 $ $ 240,000 13 2021 $ $ 240,000 14 2022 $ $ 240,000 15 16 17 Year Book Value Rate Double Declining Balance Depreciation Schedule Depreciation Exp. Accumulated Depreciation 18 2018 $240,000 19 2019 $ 240,000 $ $ 20 2020 $ 240,000 21 2021 $ 240,000 22 2022 $ 240,000 $ $ $ $ $ 23 24 251 2020 Depreciation Expense Straight-Line Method 26 Double Declining Balance Method Accounts Receivable Inventory & COGS Depreciation Notes Payable Accounting-inator Facts Cost of Equipment Estimated Salvage Value Estimated Useful Life $240,000 50 5 H