E9-16 (Algo) Computing Depreciation and Book Value for Two Years Using Alternative Depreciation Methods and Interpreting the Impact on the Fixed Asset Turnover Ratio [LO 9-3, LO 9-7] Korin Industries bought a machine for $62,000 cash. The estimated useful life was five years and the estimated residual value was $8,000. Assume that the estimated useful life in productive units is 174,000. Units actually produced were 46,400 in year 1 and 52.200 In year 2. Required: 1. Determine the appropriate amounts to complete the following schedule. 2-a. Which method would result in the lowest net income for year 1? 2-b. Which method would result in the lowest net income for year 2? 3. Which method would result in the lowest fixed asset turnover ratio for year 1? Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 28 Req 3 Determine the appropriate amounts to complete the following schedule. (Do not round intermediate calculations. Round final answers to the nearest whole dollar.) Method of Depreciation Straight line 1 Units of production Double-declining balance Depreciation Expense Book Value at the End of Year 1 Year 2 Year 1 Year 2 1 Req 2A > Req 1 Req 2A Req 2B Req 3 Which method would result in the lowest net income for year 1? Straight-line Units-of-production Double-declining-balance Req 1 Req 2A Req 2B Reg 3 Which method would result in the lowest net income for year 2? Double-declining-balance Straight-line OUnits-of-production < Req 2A Req 3 > Req 1 Req 2A Req 2B Req 3 Which method would result in the lowest fixed asset turnover ratio for year 1? Units-of-production Double-declining-balance Straight-line < Req 2B Req 3