Schrute Ltd purchased a new machine on 1 January 2021 for $750,000 cash to process beets. The company also paid $7,000 cash for transportation costs; $23,000 cash for import duties; and $30,000 cash in maintenance contracts to cover repairs to the machine during periods of use. The new machine is estimated to have an useful life of three years and a residual value of $30,000. The estimated productive capacity of the machine is 1,000,000 beets. Annual production is estimated to be 364,000 beets in year 1,212,000 beets in year 2, and 424,000 beets in year 3 . Required (v) Prepare the adjusting journal entry at 31 December 2021 for depreciation assuming Schrute uses (1) the straight-line method (2) the units-of-production method (6 marks) (vi) Which of the two methods above seems most appropriate for Schrute ? Explain. (2 marks)