QUESTION 4 (1.5 marks) Production Company purchased an equipment in cash on January 1, 2019 with the following information: a) Purchase price: $..... b) Attorney's fee: $.... c) Two year insurance policy: $.... The equipment has its expected useful life of 9 years with expected units produced 90,000. The equipment can be sold for $1,000 after 9 years of usage. Actual units produced were 11,000 in 2019 and 9,500 in 2020. Required; 1. Fill the dot (.....) with a reasonable amount for given transactions above. (0.5 marks). 2. Prepare journal entry for the transaction on January 1, 2019. (0.25 marks) 3. Compute depreciation expense for 2019 and 2020 using (a) the straight-line method, (b) units of activity method, and (c) the double reducing balance method. (0.25 marks) 4. Which depreciation method do you prefer? Why? (0.5 marks)