NewTech purchases computer equipment for $255,000 to use in operating activities for the next four years. It estimates the equipment's salvage value at $20,000. Exercise 8-7 Straight-line depreciation LO P1 Prepare a table showing depreciation and book value for each of the four years assuming straight-line depreciation. Straight-Line Depreciation Choose Numerator: 1 Choose Denominator: Annual Depreciation Expense Estimated useful life (years) Depreciation expense 58,750 Year-End Book Value Cost minus salvage $ 235,000 Year Annual Depreciation Year 1 58,750 58,750 Year 3 58,750 Year 4 58,750 Total $ 235.000 Year 2