Cameron Industries is purchasing a new chemical vapor depositor in order to make silicon chips. It will cost $2 million to buy the machine and $10,000 to have it delivered and installed. Building a clean room in the plant for the machine will cost an additional $1 million. The machine is expected to have a working life of five years. If straight-line depreciation is used, what are the yearly depreciation expenses in this case?

A small manufacturer that makes clothespins and other household products buys new injection molding equipment for a cost of $200,000. This will allow the manufacturer to make more clothespins in the same amount of time with an estimated increase in sales of 20%. If the manufacturer currently makes 50 tons of clothespins per year, which sell at $16,000 per ton, what will be the increase in revenue next year from the new equipment?