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show steps please 6. The Hartley Clinic purchased a new surgical laser for $100,000. The estimated salvage value is $5,000. The laser has a useful

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6. The Hartley Clinic purchased a new surgical laser for $100,000. The estimated salvage value is $5,000. The laser has a useful life of five years and the clinic expeds to use it 10,000 hours. It was used 1,600 hours in year 1. Instructions (a) How much is the first year's annual depreciation using the straight-line depreciation method? Show your calculations (b) How much is the first year's annual depreciation using the units-of-activity depreciation method? Show your calculations (c) Which method would result in the lowest reported income in the first year? Why? Straight line: (100,000 - 5,000)/5 = 19,000 6b Units of activity (100,000 - 5,000) 10,000 hours = 9.5 per hour Answer: In year 1 = 1,600 hours * 9.5 per hour = 15,200 60

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