Solar Innovations Corporation bought a machine at the beginning of the year at a cost of $38,000. The estimated useful life was five years and the residual value was $4,000. Assume that the estimated productive life of the machine is 10,000 units. Expected annual production for year 1, 2,000 units; year 2, 3,000 units; year 3, 2,000 units; year 4, 2,000 units; and year 5, 1,000 units.

Required:
1.	Complete a depreciation schedule for each of the alternative methods. (Do not round intermediate calculations.)

a.	Straight-line.

b.	Units-of-production.

c.	Double-declining-balance.

2-a.

Which method will result in the highest net income in year 2?

	Double-declining-balance
	Straight-line
	Units-of-production