Echo Company purchased a machine some years ago. At the end of the current year, the company revalued the machine to its fair value. The machine has the following characteristics as at the end of the current year:

Original cost	$1,000,000
Residual value	$ 200,000
Estimated useful life (from acquisition date)	10 years
Years of use up to end of current year	4 years
Estimated useful life remaining (after current year-end)	6 years
Fair value at end of current year	$ 800,000
Depreciation method	Straight-line

Required:

1. Calculate the depreciation expense for the years prior to the revaluation.
2. Calculate the depreciation expense for the years following the revaluation.
3. Record the journal entry for the revaluation adjustment using the elimination method.
4. Record the journal entry for the revaluation adjustment using the proportional method.