Swanson & Hiller, Inc., purchased a new machine on September $1$ of the current year at a cost of $$138,000.$ The machine's estimated useful life at the time of the purchase was five years, and its residual value was $$8,000.$ The company reports on a calendar year basis.

Required:

a$-1.$ Prepare a complete depreciation schedule, beginning with the current year, using the straight$-$line method. $($Assume that the halfyear convention is used$).$

a$-2.$ Prepare a complete depreciation schedule, beginning with the current year, using the $200$ percent declining$-$balance method. $($Assume that the half$-$year convention is used$).$

a$-3.$ Prepare a complete depreciation schedule, beginning with the current year, using the $150$ percent declining$-$balance, switching to straight$-$line when that maximizes the expense. $($Assume that the half$-$year convention is used$).$

b$.$ Which of the three methods computed in part a is most common for financial reporting purposes?

c$.$ Assume that Swanson & Hiller sells the machine on December $31$ of the fourth year for $$30,500$ cash. Compute the resulting gain or loss from this sale under each of the depreciation methods used in part a$.$