Freedom Co. purchased a new machine on July 2, 2019, at a total installed cost of $132,000. The machine has an estimated life of five years and an estimated salvage value of $18,000.

Required:

a. Calculate the depreciation expense for each year of theasset'slifeusing:

1. Straight-line depreciation.
2. Double-declining-balance depreciation.

b. How much depreciation expense should be recorded by Freedom Co. for its fiscal year ended December 31, 2019, under each method? (Note:The machine will have been used for one-half of its first year of life.)

C.