Rebel Systems purchased a new mining equipment for its mining activities in Northern Nevada. The table on the right lists the relevant initial costs for this purchase. The service life of the equipment is 4 years and its salvage value for depreciation purposes is expected to be about 26% of the price.

Find Straight Line depreciation in years 1-4 and 150% and 200% declining balance depreciation in years 1-4

Answers: (a) The cost basis of the equipment is $ 197000 (Round to the nearest dollar) (b) Annual depreciaitions and book values: (Round to the nearest dollar) Year SL 150% DB 200% DB D 0 $ MACRS-GDS 228151 $ 48245 $ 34455 0 0 0 $ 0 Book values at end of 2 years 2120604 Answers: (a) The cost basis of the equipment is $ 197000 (Round to the nearest dollar) (b) Annual depreciaitions and book values: (Round to the nearest dollar) Year SL 150% DB 200% DB D 0 $ MACRS-GDS 228151 $ 48245 $ 34455 0 0 0 $ 0 Book values at end of 2 years 2120604