Herasa Manufacturing purchased a new machine on Jan 1, 20x1 that was built to perform one function on its assembly line. Data pertaining to this new machine are: Cost $540,000 Residual value (salvage) $16,000 Estimated service life 7 years Production output 300,000 units Using straight-line method, what is the annual depreciation expense? Enter your response rounded to whole numbers, no commas and no dollar signs. Your Answer: