Document2 . Word Jut erences Mailings Review View Help Search A Aa Ao E 21 A.P.A. - 1 No Spac... Heading 1 Heading 2 1 Normal Paragraph Styles The Raincloud Inc. is in the paper products industry. Industry being very capital intensive has been using straight-line depreciation as the industry standard. The Raincloud Company is contemplating the purchase of a large milling machine that will cost $3 million. The machine will probably have a useful life of ten years, at which time the machine's salvage value will be negligible. However, the machine is the most productive in its first five years. After that, increasing repairs and maintenance requirements will increase the machine's downtime and decrease its efficiency. Prior experience indicates that repairs and maintenance expense will be $40,000 in the first year and will increase at a rate of 10% per year. Ctrl a) Most firms in the industry use straight-line depreciation. Prepare and earn that fat paycheck of yours) a comparative schedule for me showing the annual expense related to this machine if (1) straight-line or (2) double-declining balance depreciation is used. Include both depreciation and repairs and maintenance expense in your schedule (Round off to whole dollars where appropriate) D Focus O L 97%