Question 2 (20 Marks) On Jan 3, 2017, Limestone Enterprises purchased equipment for $134,500. The equipment has a useful life of five years or of 15,000 working hours and after the useful life it will have a residual value of $12,000. The machine was used for 1,400 hours in 2017, 2,100 hours in 2018; 3,700 hours in 2019. Required: 1. Calculate the depreciation expense for 2017 and 2018 under each of the following methods: (15 marks) i Straight-line, ii. Double diminishing-balance, and iii. Units-of-production 2. Record the journal entry for depreciation expense for the year ended December 31, 2017 under the straight-line method. (2 marks) 3. Which method results in the lowest profit for the first two years? Why