1. I am very concerned about the depreciation charges being made in relation to the companys equipment. In particular, I believe that the depreciation charges are not high enough in relation to the factory machines because new technology applied in that area is rapidly making the machines obsolete. In addition, the machines will have to be replaced in the near future and, with the low depreciation charges, the fund will not be sufficient to pay for the replacement machines. However, my colleague suggested that I should not worry about the depreciation charges due to the nature of depreciation. Could you please advise me on this matter?