During 2016-2017, Winter Ltd. purchased three types of machines. Because of frequent employee turnover in the accounting department, a different accountant was in charge of selecting the depreciation method for each machine, and various methods have been used. Information concerning the machines is summarised in the table below. Machine type Date acquired Initial cost Initial site preparation Initial delivery Residual Useful Depreciation and assembly value Method life costs costs 1 30/09/2016 $36,300 $1,200 $900 $9,000 8 Diminishing- balance 2 1/02/2017 $25,000 $1,000 $6,000 5 Sum-of- years'-digits 3 15/11/2017 $52,500 $700 $800 $10,500 10 Straight-line The end of financial year is at 30 June. The following transactions has taken place since the start of 2018; 2018 Feb. 24 Purchased land and a building worth $145,000, with the intention of tearing down the building and constructing a new office complex. An interest-free loan for $120,000 was taken from another company and the rest was paid in cash, plus an agent's commission of $8,800 and title search fees of $2,750. May 14 Paid Dan's Demolition Services $9,900 to demolish the building acquired on 24 September and received $750, from sale of materials salvaged from demolishing the old building. June 30 July 3 End of financial year depreciation expenses recorded. Singed a contract with Easy Construction Ltd, for construction of a new office complex on the land acquired on 24 February. It is expected to cost around $85,000.