Three different companies each purchased trucks on January 1, Year 1, for $54,000. Each truck was expected to last four years or 250,000 miles. Salvage value was estimated to be $5,000. All three trucks were driven 76,000 miles in Year 165,000 miles In Year 2 42,000 miles in Year 3 and 71,000 miles in Year 4. Each of the three companies earned $43,000 of cash revenue during each of the four years. Company A uses straight-line depreciation, company B uses double-declining balance depreciation, and company Cuses units-of-production depreciation Required Answer each of the following questions. Ignore the effects of income taxes, a-1. Calculate the net income for Year 1. a-2. Which company will report the highest amount of net income for Year 1? b-1. Calculate the net income for Year 4. b-2. Which company will report the lowest amount of net income for Year 4? C-1. Calculate the book value on the December 31, Year 3, balance sheet. c-2. Which company will report the highest book value on the December 31, Year 3, balance sheet? d-1. Calculate the retained earnings on the December 31 Year 4, balance sheet. d-2. Which company will report the highest amount of retained earnings on the December 31, Year 4, balance sheet? e. Which company will report the lowest amount of cash flow from operating activities on the Year 3 statement of cash flows? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required E a-1. Calculate the net income for Year 1. (Round "Per Unit Cost to 3 decimal places.) a-2. Which company will report the highest amount of net income for Year 1? Answer a-1 $ $ 30,750 16,000 Company A Company B Company C Highest net income a-2 Company A Complete this question by entering your answers in the tabs below. Required A Required B Required c Required D Required E b-1. Calculate the net income for Year 4. (Round your "Per Unit Cost" to 3 decimal places.) b-2. Which company will report the lowest amount of net income for Year 4? Answer b-1 $ Company A Company B Company C Lowest net income 30,750 41,250 b-2 Company C Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Required E c-1. Calculate the book value on the December 31, Year 3, balance sheet. (Round "Per Unit Cost" to 3 decimal places.) c-2. Which company will report the highest book value on the December 31, Year 3, balance sheet? Answer 0-1 Company A Company B Company C Highest book value c-2 Complete this question by entering your answers in the tabs below. Required a Required B Required Refluired D Required E d-1. Calculate the retained earnings on the December 31, Year 4, balance sheet. d-2. Which company will report the highest amount of retained earnings on the December 31, Year 4, balance sheet? Answer d-1 Company A Company B Company C Highest retained earnings d-2 Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Reuired E Which company will report the lowest amount of cash flow from operating activities on the Year 3 statement of cash flows? The cash flow from operating activities will be Depreciation expense the same is not if income tax is not considered for each company con flow ifom