Gotham Companypurchased a new machine on October 1, 2017, at a cost of $90,000. The company estimated that the machine has a salvage value of $8,000. The machine is expected to be used for70,000working hours during its8-year life.

Compute depreciation using the following methods in the year indicated.

Declining-balance using double the straight-line rate for 2017 and 2018.(Round answers to 0 decimal places, e.g. 125)

2017

2018

Depreciation using the Declining-balance method$

$

Calculate the depreciation cost per hour.(Round answer to 2 decimal places, e.g. $1.25)

Depreciation cost per hour$

Units-of-activity for 2017, assuming machine usage was480hours.(Round answer to 0 decimal places, e.g. 125)

Depreciation using the Units-of-activity method for 2017$