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Banko Inc. manufactures sporting goods. The following information applies to a machine purchased on January 1, Year 1: Purchase price Delivery cost Installation charge Estimated

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Banko Inc. manufactures sporting goods. The following information applies to a machine purchased on January 1, Year 1: Purchase price Delivery cost Installation charge Estimated life Estimated units Salvage estimate $ 91,000 $ 5,000 $ 3.000 5 years 160, eee $ 3,00 During Year 1, the machine produced 56,000 units, and during Year 2 it produced 58,000 units. Required a. Determine the amount of depreciation expense for Year 1 and Year 2 using straight-line method. b. Determine the amount of depreciation expense for Year 1 and Year 2 using double declining balance method. c. Determine the amount of depreciation expense for Year 1 and Year 2 using units of production method. d. Determine the amount of depreciation expense for Year 1 and Year 2 using MACRS, assuming that the machine is classified as seven-year property (Round your answers to the nearest dollar amount.) MACRS table: 5-Year Year property.x 20.00 32.00 19.20 11.52 I 11.52 5.76 7-Year property. 14.29 24.49 17.49 12.49 8.93 8.92 8.93 4.46

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