Mini-Exercise 6-4 (Algo) Effect of depreciation on ROI LO 3 Gandolfi Construction Co. purchased a CAT 336DL earth mover at a cost of $515,000 in January 2019. The company's estimated useful life of this heavy equipment is 20 years, and the estimated salvage value is $94,000. Assume that Gandolfi Construction Co. calculated depreciation expense for the CAT 336DL earth mover on the straight-line method and reported $616,200 of net income for the year ended December 31, 2019. The company's average total assets for 2019 were $3,950,000. Required: a. Calculate Gandolfi's ROI for the year ended December 31, 2019. Return On Investment for the year ended December 31, 2019 Choose Numerator: / Choose Denominator: ROI 1 = ROI = b. Calculate what Gandolfi's ROI would have been for the year ended December 31, 2019, had the company used the double- declining-balance depreciation method for the CAT 336DL earth mover. Ignore the effects of income taxes. Return On Investment for the year ended December 31, 2019 Choose Numerator: / Choose Denominator: 1 ROI ROI