Depreciation Choices and Outcomes. please answer a, b, c and d on the second photo!

on costs? Depreciation Choices and outcomes. Reddic Co. purchased a new machine on January 1. The following information pertains to the purchase: if ADT had always expensed its TA 1,2 Life of asset Salvage value Purchase price Sales tax. Freight cost. Electrical set-up Custom programming Estimated annual labor savings Additional revenue generated. 5 years $ 3,500 35,000 3,000 1,200 800 1,500 3.500 $ 8.000 years assuming Required b. Compute annual depreciation, accumulated depreciation, and the machine's book value for the first trace a. Determine the capitalized cost of the new machine. i. Straight-line depreciation ii. Double-declining-balance method Assume the machine is sold for $9,000 at the end of the third year after depreciation has been calculated Determine the gain or loss assuming i. Straight-line depreciation ii. Double-declining-balance method d. Given your answer in part e, if Mulligan was able to perfectly predict the future that the machine would be sold for $9,000 at the end of the third year, which depreciation method should Reddic choose? Ignore taxes