Exercise 11-3 Novak Corporation purchased a new plant asset on April 1, 2017, at a cost of $900,000. It was estimated to have a useful life of 20 years and a residual value of $330,000, a physical life of 30 years, and a salvage value of $0. Novaks accounting period is the calendar year. Novak prepares financial statements in accordance with IFRS.

Calculate the depreciation for this asset for 2017 and 2018 using the straight-line method. (Round answers to 0 decimal places, e.g. 5,275.)

		Depreciation
2017		$
2018		$

Calculate the depreciation for this asset for 2017 and 2018 using the double-declining-balance method. (Round answers to 0 decimal places, e.g. 5,275.)

		Depreciation
2017		$
2018		$

Calculate the depreciation for this asset for 2017 and 2018 using the straight-line method and assuming Novak prepares financial statements in accordance with ASPE. (Do not round intermediate calculations and round answers to 0 decimal places, e.g. 5,275.)

		Depreciation
2017		$
2018		$

Assume that additional information has been provided relating to the cost ($900,000). There are three components of the plant asset. Components 1, 2, and 3 have costs of $420,000, $240,000, and $240,000, respectively. The useful lives of components 1, 2, and 3 are 25, 20, and 30 years, respectively. Determine straight-line depreciation expense for 2017 and 2018 for each component under IFRS if the residual value is $140,000 for component 1, $148,000 for component 2, and $42,000 for component 3. (Do not round intermediate calculations and round answers to 0 decimal places, e.g. 5,275.)

		Depreciation expense
		2017		2018
Component 1		$		$
Component 2		$		$
Component 3		$		$