Equipment acquired on October 1, 2015, at a cost of $9,000, has an estimated useful life of 5 years. The residual value is estimated to be $1,000, and the company's year-end is December 31. The company adjusts its accounts annually. Instructions Calculate the depreciation expense for the first two years using the (a) straight-line method. (b) double diminishing-balance method with 40% rate. (c) Which method results in the smaller profit during the first year? Show your calculations. (d) How would this equipment and its depreciation be reported (presented) on the financial statements for 2015 and 2016 assuming the straight-line method is used? Balance Sheet 2015 Income Stat 2015 Balance sheet 2016 Income Stat 2016 5