Ex. 11-1 Calculate depreciation. A machine cost $500,000 on April 1, 2006. Its estimated salvage value is $50,000 and its expected life is eignt year Instructions its expected life is eight years. Calculate the depreciation expense (to the nearest dollar) by each of the following methods, showing the figures used (a) Straight-line for 2006 (b) Double-declining balance for 2007 (c) Sum-of-the-years'-digits for 2007 Solution 11-1