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Cutter Enterprises purchased equipment for $45,000 on January 1, 2021. The equipment is expected to have a five-year life and a residual value of $5,700.

Cutter Enterprises purchased equipment for $45,000 on January 1, 2021. The equipment is expected to have a five-year life and a residual value of $5,700.

Using the sum-of-the-years'-digits method, depreciation for 2021 and book value at December 31, 2021, would be: (Do not round depreciation rate per year)

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