Geddie Products purchased a machine for $60,000 on July 1, 2020 (the firm starts to depreciate this asset from July 1, 2020). The company estimates that the useful life of the asset is 4 years, and its life in hours = 10,000 hours. The estimated salvage value is $6,000. During 2020, the hours used were 1,250 hours.

(show your calculations in your answers!)

2) Calculate the depreciation expense of 2020 and 2021 using the double-declining balance method