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Mace Company acquired equipment that cost $62,000, which will be depreciated on the assumption that the equipment will last six years and have a

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Mace Company acquired equipment that cost $62,000, which will be depreciated on the assumption that the equipment will last six years and have a $4,100 residual value. Component parts are not significant and need not be recognized and depreciated separately. Several possible methods of depreciation are under consideration. Required: 1. Prepare a schedule that shows annual depreciation expense for the first two years, assuming the following (Round your answer to nearest whole dollar.): a. Declining-balance method, using a rate of 30%. b. Productive-output method. Estimated output is a total of 210,000 units, of which 24,000 will be produced the first year, 36,000 in each of the next two years; 30,000 the fourth year; and 42,000 the fifth and sixth years. c. Straight-line method. Year (a)DB 30% (b) Productive 1 2 Output (c) SL 13

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