Comparing three depreciation methods Waylander Coatings Company purchased waterproofing equipment on January 6 for $320,000. The equipment was expected to have a useful life of 4 years, or 20,000 operating hours, and a residual value of $35,000. The equipment was used for 7.200 hours during Year 1. 6,400 hours In Year 2, 4,400 hours in Year 3, and 2,000 hours in Year 4 Required: 1. Determine the amount of depreciation expense for the years ended December 31, Year 1 Year 2, Year 3, and Year 4, by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the 4 years by each method. Note: FOR DECLINING BALANCE ONLY, round the multiplier to four decimal places. Then, round the answer for each year to the nearest whole dollar. Depreciation Expense Straight-Line Units-of-Activity Double-Declining Year Method Method Balance Method Year 1 71,250 102,600 320,000 X Year 2 71,250 91,200 16,000 X Year 3 71,250 62,700 Year 4 71,250 28,500 5,000 Total 71,250 X 80,000 X 2. What method yields the highest depreciation expense for Year 1