Talia's Tutus bought a new sewing machine for $45,000 that will be depreciated over 5 years using double-declining-balance depreciation with a switch to straight-line.

Required:

a.Find the depreciation charge each year (year 1 through 5).

b.If the sewing machine is sold after 2 years for $32,000, what will be the after-tax proceeds on the sale if the firm's tax bracket is 35%?

Complete this question by entering your answers in the tabs below.

• Required A

Year 1: (Need Depreciation Value answer for year 1)

Year 2: (Need Depreciation Value answer for year 2)

Year 3: (Need Depreciation Value answer for year 3)

Year 4: (Need Depreciation Value answer for year 4)

Year 5: (Need Depreciation Value answer for year 5)

• Required B

If the sewing machine is sold after 2 years for $32,000, what will be the after-tax proceeds on the sale if the firm's tax bracket is 35%?

After-tax proceeds: (Need after-tax proceedings answer)