P9.3B (LO 1, 2) AP Glans Company purchased equipment on account on April 6, 2019, at an invoice price of $442,000. On April 7, 2019, it paid $4,000 for delivery of the equipment. A one-year, $3,000 insurance policy on the equipment was purchased on April 9, 2019. On April 22, 2019, Glans paid $6,000 for installation and testing of the equipment. The equipment was ready for use on May 1, 2019.

# of Units	Year Ended April 30
22,600	2020
45,600	2021
49,700	2022
32,200	2023

Instructions

a. Determine the cost of the equipment.

b. Prepare depreciation schedules for the life of the asset under the following depreciation methods:

1. straight-line
2. double diminishing-balance
3. units-of-production

c. Which method would result in the highest profit for the year ended April 30, 2021? Over the life of the asset?