Problem 4 Summit Ltd. purchased machinery on January 2, 2019, at a total cost of $40,000. The machinery's Summit Ltd. purchased machinery on January 2, 2019, at a total cost of $40,000. The machinery's estimated useful life is 5 years or 60,000 hours, and its residual value is $4,000. During 2019 and 2020, the machinery was used 7,000 and 7,500 hours, respectively. Compute depreciation under straight-line, units-of-production, and double-declining balance methods for 2019 and 2020. 2019 2020 Straight-line depreciation Units-of-production depreciation Double-declining-balance depreciation Explain the concept of depreciation. Include in your discussion one common misconception regarding depreciation and its impact on the finances of a business