On January 1, 2018, Austin Airlines purchased a used airplane for $51,000,000 Austin Airlines expects the plane to remain useful for four years (5,000,000 miles) and to have a residual value of $6,000,000. The company expects the plane to be down 1,600,000 miles the first year Read the rements Requirement 1a. Compute Austin Airlines's first-year depreciation expense on the plane using the straight-line method Begin by selecting the formula to calculate the company's first year depreciation expense on the plane using the straight-line method Then enter the amounts and calculate the depreciation for the first year Cost Residual value Useful life Straight-line depreciation 51000000 6000000 4 11250000 Requirement 1b. Compute Austin Airlines's first-year depreciation expense on the plane using the units of production method Before calculating the first year depreciation expense on the plane using the units of production method, calculate the depreciation expense per unit. Select the formula then enter the amounts and calculate the depreciation per unit Residual value Useful tiden units Depreciation per unit 51000000 5000000 5000000 9 Now, select the formula, enter the amounts and calculate the company's first year depreciation expense on the plane using the units of production method Depreciation perunt Current year usage Units-of-production precision 9 1600000 14400000 Requirement 1c. Compute Austin Arine's first year depreciation expertise on the plane using the double-declining balance method Begin by selecting the formato calculate the company's first year depreciation expense on the plane using the double-decining balance method. Then enter the amounts and calculate the depreciation exponse for the fint year. Enter for fons with a rov Colt Accumulated depreciation 0 Depreciation 2-4 Double declining balance depreciation 25600000 51000000 On January 1, 2018 Austin Airlines purchased a used airplane for $51,000,000 Austin Airlines expects the plane to remain useful for four years (5,000,000 miles) and to have a residual value of $6,000,000. The company expects the plane to be flown 1,500,000 miles the first year Read the requirements Begin by selecting the formula to calculate the company's first-year depreciation expense on the plane using the double-decining balance method. Then enter the amounts and calculate the depreciation expense for the first year (Enter "o for items with a zero value) Double-declining Cost Accumulated depreciation Depreciation balance depreciation 51000000 0 > 2*(1.4) 25500000 Requirement 2. Show the airplane's book value at the end of the first year for all three methods Straight Line Units of production Double declining balance Cost 51000000 51000000 51000000 Les Accumulated Depreciation 11250000 14400000 25500000 Book Value 39750000 30600000 25500000