Facebook, Inc. purchased equipment for $1,000,000. The equipment has a useful life of 8 years and a salvage value of $90,000. Calculate: a) The yearly depreciation expense using the straight-line method. b) The accumulated depreciation at the end of year 5. c) The book value of the equipment at the end of year 7. d) The total depreciation expense over the equipment's useful life. e) Explain the impact of depreciation on the company's financial statements.