The following information relates to Hawkrigg Corporations purchase of equipment on 15 June 20X7: Invoice price ..................... $ 210,000 Discount for early payment (if paid by 30 June)....... $ 1,050 Shipping costs..................... $ 2,000 Installation ...................... $ 1,500 Testing ........................ $ 3,000 The equipment was installed and tested during the week of 22 June 20X7. Hawkrigg paid the invoice price on 1 July 20X7. The equipment was ready for use on 30 June and put into production on 3 July 20X7. Hawkrigg management uses straight- line depreciation for the companys equipment and expects to use the asset for six years. he estimated residual value is zero. Their fiscal year end is 31 December. Required: 1. What is the book value of the equipment after installation? 2. Compute depreciation expense for 20X7, using the straight- line method, under each of the following assumptions: a. Exact, to the closest month b. Full first- year convention c. Half- year convention 3. Calculate depreciation expense for both 20X7 and 20X8 under each of the methods in requirement (2), using double- declining balance ( DDB) depreciation.