ble On J anuary 1, 2017, Different Minds Company (DMC) acquired new equipment that is used to make several new lines of products. DMC's manager indicated that, as a condition for providing financing for the new equipment, the bank requires that DMC's total assets exceed $500,000, as reported on its December 31 balance sheet prepared in accordance with Canadian accounting standards for private enterprises. Before making the adjustment for this year's depreciation, DMC's total assets are reported at $530,000. The manager has asked you to look at the facts regarding the new equipment and "work with the numbers to make sure everything stays onside with the bank's expectation that DMC's total assets will be more than $500,000." A depreciation meth was $210,000 and the manager estimates it will be worth $20,000 DMC used the equipment to produce and sell 14,000 units this year. DMC anticipates will remain quite productive throughout its entire five-year life, producing a total of 100,000 units over that entire period od has not yet been adopted for the new equipment. The cost of the new equipment at the end of its five-year useful life Calculate the depreciation that would be reported for the year ended December 31, 2017, under each of the following methods 1. a. Straight-line b. Units-of-production c. Double-declining balance The manager claims that any of the three methods can be used for this equipment because they all a systematic and rational methods. Assuming this to be true: 2. a) Identify which method best meets the manager's financial reporting objectives this year. b) Justify your