Suppose you manage a manufacturing company that just purchased a metal pressing machine for $75,000. You expect the machine to last 25 years.

Depending on the size of your company, having such a large expense on your books for one period will make short and long-term trends difficult to detect. Instead, you spread the expense out over the 25-year lifetime of the machine. This expensing process is depreciation.

As part of this process, the value of the machine in your balance statement is reduced each year by the amount of depreciation. This is the book value of the asset.

There are multiple ways to depreciate an asset that you will learn about in your accounting class.

1. Which method(s) is/are result in linear decay in the book value? What about exponential decay? What about neither? Justify your response.
2. For the method that results in linear decay in book value:
   1. Find the slope. Show work
   2. Write the equation for the book value. Show your work.
3. For the method that results in exponential decay in book value:
   1. Find the percentage rate of change. Show your work.
   2. Write the equation for the book value. Show your work
4. As an expense, depreciation can be deducted from your income for tax purposes. Describe the tax advantages or disadvantages of each method:
   1. Method 1
   2. Method 2
   3. Method 3

When answering these questions please refer to the excel posted above. I had someone reply to these same questions with a different excel, which answered about 1 of my questions. There was also terms on the different graph I haven't learned yet so again please refer to the graph above. Thank you

this is all the information i was given for the assignment.

\begin{tabular}{|c|c|c|c|c|c|c|c|} \hline 4 & A & \multicolumn{2}{|c|}{ B } & \multicolumn{2}{|c|}{ C } & \multicolumn{2}{|c|}{ D } \\ \hline 1 & Year & & Method 1 & \begin{tabular}{l} Boo \\ Dep \end{tabular} & lethod 2 & \begin{tabular}{l} Boo \\ Dep \end{tabular} & thod 3 \\ \hline 2 & 0 & $ & 75,000.00 & $ & 75,000.00 & $ & 75,000.00 \\ \hline 3 & 1 & $ & 64,500.00 & $ & 72,200.00 & $ & 69,461.54 \\ \hline 4 & 2 & $ & 55,470.00 & $ & 69,400.00 & $ & 64,144.62 \\ \hline 5 & 3 & $ & 47,704.20 & $ & 66,600.00 & $ & 59,049.23 \\ \hline 6 & 4 & $ & 41,025.61 & $ & 63,800.00 & $ & 54,175.38 \\ \hline 7 & 5 & $ & 35,282.03 & $ & 61,000.00 & $ & 49,523.08 \\ \hline 8 & 6 & $ & 30,342.54 & $ & 58,200.00 & $ & 45,092.31 \\ \hline 9 & 7 & $ & 26,094.59 & $ & 55,400.00 & $ & 40,883.08 \\ \hline 10 & 8 & $ & 22,441.34 & $ & 52,600.00 & $ & 36,895.38 \\ \hline 11 & 9 & $ & 19,299.56 & $ & 49,800.00 & $ & 33,129.23 \\ \hline 12 & 10 & $ & 16,597.62 & $ & 47,000.00 & $ & 29,584.62 \\ \hline 13 & 11 & $ & 14,273.95 & $ & 44,200.00 & $ & 26,261.54 \\ \hline 14 & 12 & $ & 12,275.60 & $ & 41,400.00 & $ & 23,160.00 \\ \hline 15 & 13 & $ & 10,557.01 & $ & 38,600.00 & $ & 20,280.00 \\ \hline 16 & 14 & $ & 9,079.03 & $ & 35,800.00 & $ & 17,621.54 \\ \hline 17 & 15 & $ & 7,807.97 & $ & 33,000.00 & $ & 15,184.62 \\ \hline 18 & 16 & $ & 6,714.85 & $ & 30,200.00 & $ & 12,969.23 \\ \hline 19 & 17 & $ & 5,774.77 & $ & 27,400.00 & $ & 10,975.38 \\ \hline 20 & 18 & $ & 4,966.30 & $ & 24,600.00 & $ & 9,203.08 \\ \hline 21 & 19 & $ & 4,271.02 & $ & 21,800.00 & $ & 7,652.31 \\ \hline 22 & 20 & $ & 3,673.08 & $ & 19,000.00 & $ & 6,323.08 \\ \hline 23 & 21 & $ & 3,158.85 & $ & 16,200.00 & $ & 5,215.38 \\ \hline 24 & 22 & $ & 2,716.61 & $ & 13,400.00 & $ & 4,329.23 \\ \hline 25 & 23 & $ & 2,336.28 & $ & 10,600.00 & $ & 3,664.62 \\ \hline 26 & 24 & $ & 2,009.20 & $ & 7,800.00 & $ & 3,221.54 \\ \hline 27 & 25 & $ & 1,727.92 & $ & 5,000.00 & $ & 3,000.00 \\ \hline \end{tabular}