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

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Banko Inc, manufactures sporting goods. The following information applies to a machine purchased on January 1 Yeart Purchase price Delivery cost Installation charge Estimated life Estimated units Salvage estimate $ 70,500 $ 6,000 $ 1,000 5 years 149,000 $ 3,000 During Year 1, the machine produced 45,000 units, and during Year 2 it produced 47,000 units. Requlred 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 a seven-year property. (Round your answers to the nearest doller amount.) MACRS table: 5-Year 7-Year Year property, property, 1 20.00 14.29 32.00 24.49 19.20 17.49 11.52 12.49 11.52 8.93 5.76 8.92 8.93 Year 1 Year 2 Depreciation expense Depreciation expense Depreciation expense d. Depreciation expense

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