Sarasota Corporation purchased a boardroom table for $$16,000.$ The company planned to keep it for four years, after which it was

expected to be sold for $$1,000.$

$($a$)$

Your answer is correct.

Calculate the depreciation expense for each of the first three years under $(1)$ the straight$-$line method, and $(2)$ the double$-$

diminishing$-$balance method, assuming the company purchased the table early in the first month of the first year.

$(1)$ Straight$-$line method.

Year $1$$$

Year $2,$$$|$

Year $3$$

$(2)$ Double$-$diminishing$-$balance method.

Year $1,$$

Year $2$$

Year $3$$ Your answer is partially correct.

Assuming Sarasota sold the table for $$6,000$ at the end of the third year, calculate the gain or loss on disposal under each

depreciation method.

Straight$-$line method

$

Double$-$diminishing$-$balance method

$