Ontario Industries purchased equipment worth $750,000 on January 1, 2021. The equipment is expected to last 7 years and have a residual value of $50,000. The equipment is expected to be able to produce 1,000,000 units over it's life. You expect to produce 50,000 units in the first year, 80,000 units in the second year, and 120,000 in the third year. Ontario Industries makes one adjusting entry for depreciation at the end of the year.

REQUIRED

Record the journal entry for depreciation at the end of 2022 under three INDEPENDENT scenarios:

a) Straight-line depreciation method

b) Double declining (diminishing balance) method

c) Units of production (units of depletion) method