Question:Health Guard Labs recently purchased a new pill dispensing machine.The purchase price was $24,500, the estimated residual value was $10,000, and the estimated useful life is 5 years. Additional expenditures during the first year were as follows:

1) Sales Tax $750

2) Assembly $450

3) Maintenance Repairs $2,500

4) Replacement Parts $3,600

5) New battery life to increase energy efficiency $670

1) Determine the machine asset value at the end of year one.

2) Show thedepreciation schedule for year one and two for the dispensing machine by using the straight line method.

3) Show the depreciation schedule for year one and two for the dispensing machine by using the double declining method.