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Hello! I need some help with this question below. I would really appreciate if you can solve it. Thank you very much! At the beginning

Hello! I need some help with this question below. I would really appreciate if you can solve it. Thank you very much!

At the beginning of the year, Wizzair purchased a used aircraft at a cost of $25,000,000. Wizzair expects the plane to remain useful for 12 years (or 4 million miles) and to have an estimated residual value of $1,000,000. Wizzair flies the plane 410,000 miles the first year and 300,000 miles the second year. Computefirst-yearandsecond-yeardepreciation expense, accumulated depreciation and ending book valueon the plane using the following methods:

a. Straight-line

b. Units-of-production

c. Double-declining-balance

d. Based on your calculations, which method yieldsthe highest book value of long-term assetsat the end of the first year?

e. Based on your calculations, which method enables you topay the least in income tax(straight-line method, units-of-production, or double-declining-balance) for the first year?

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