Brown Co. purchased a piece of equipment last year for $215,000. Management estimates that the equipment will have a useful life of five years and no salvage value. The company uses the straight-line method of depreciation for reporting purposes.

1. What is the amount of depreciation expense that will be included on the income statement for each year?
2. What will be the net book value of the equipment reported on the balance sheet for Years 1 through 5?