Required information [The following information applies to the questions displayed below.) On April 1, 2016, Cyclone's Backhoe Co. purchases a trencher for $280,000. The machine is expected to last five years and have a salvage value of $40,000. Compute depreciation expense for both years ending December 2016 and 2017 assuming the company uses the straight-line method. X Answer is complete but not entirely correct. Choose Numerator: Choose Denominator: = Cost minus salvage / Estimated useful life (years) = $ / 5 245,000 Annual Depreciation 49,000 Year Annual Depreciation Annual depreciation $ 49,000 Depreciation Expense $ 36,750 X $ 49,000 X Fraction of Year = 2016 $ 9/12 2017 $ 49,000 12/12