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Required information The following information applies to the questions displayed below Exact Photo Service purchased a new color printer at the beginning of Year 1

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Required information The following information applies to the questions displayed below Exact Photo Service purchased a new color printer at the beginning of Year 1 for $38,000. The printer is expected to have a four year useful life and a $3,500 salvage value. The expected print production is estimated at 1,500,000 pages. Actual print production for the four years was as follows: Year 1 Year 2 Year 3 Year 4 Total 390,000 410,000 428.000 300.000 1,520,000 The printer was sold at the end of Year 4 for $1,650. Required a. Compute the depreciation expense for each of the four years, using double-declining balance depreciation pnciation Expense Year 1 Year 2 Year 3 Year 4 Total accumulated depreciation $ 6,440 b. Compute the depreciation expense for each of the four years, using units-of-production depreciation (Round cost per unit to three decimal places and final answers to the nearest whole dollar amount.) Depreciation Expense Year 1 Year 2 Year 3 Year 4 Total accumulated depreciation c. Calculate the amount of gain or loss from the sale of the asset under each of the depreciation methods DDB Units of Production Un Company sold office equipment with a cost of $39,630 and accumulated depreciation of $35,739 for $5,640. Required a. What is the book value of the asset at the time of sale? b. What is the amount of gain or loss on the disposal? c. How would the sale affect net income increase, decrease, no effect) and by how much? d. How would the sale affect the amount of total assets shown on the balance sheet (increase, decrease, no effect) and by how much? e. How would the event affect the statement of cash flows (inflow, outflow, no effect) and in what section? ok a b c by Book value Gain (loss) on sale Net income would Total assets would Effect Section d by

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