The Home Depot purchased store equipment on January 1, 2017, for $2,000,000. The equipment is expected to have a useful life of 20 years and a residual value of $200,000. The Home Depot uses the double-declining balance method of depreciation.

Required:

1. Calculate the annual depreciation expense for the first six years.
2. Prepare the journal entry for the depreciation expense for the year ending December 31, 2023.
3. Discuss the impact of different depreciation methods on the financial statements.