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Sahara Company purchased equipment on October 1, 2019 for $90,000. It is estimated that the equipment will have a $5,000 salvage value at the end

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Sahara Company purchased equipment on October 1, 2019 for $90,000. It is estimated that the equipment will have a $5,000 salvage value at the end of its 5-year useful life. It is also estimated that the equipment will produce 100,000 units over its 5-year life. REQUIRED Determine the depreciation expense for 2019 and 2020 using: a) the straight-line method (3.5 Marks) b) the double-declining balance method (3 marks) c) the unit-of-activity, if 16,000 units of product are produced in 2019 and 24,000 units in 2020 (2.5 Marks) 7 i B 1 F %

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