Q. A compressor is purchased for $50 million. Just Parts C,D,E,F What will be the straight-line depreciation per year if the depreciable life of the compressor, by tax rules, is 10 years? Assume zero salvage value at the end of 10 years. Calculate the first year's depreciation for the compressor using double-declining balance (DDB) depreciation. c. If you are allowed to switch from DDB depreciation to straight-line depreciation, in which year will it be advantageous to switch to straight-line d. What will be the depreciation charge in the year when the switch from DDB to straight- line takes place? e. Calculate the sum-of-years-digits depreciation for year one and year two for the asset f. What will be the book value of the asset at the end of year two