Tops Ltd purchased a new machine on 1 October 2022 at a cost of $ 228,000. The entity estimated that the machine has a residual value of $ 28,000. The machine is expected to be used for 40 000 working hours during its 10-year life. Assume a 31 December year-end.

Required

Calculate the depreciation expense using the following methods in the year indicated:

(a) the straight-line method for 2022 and 2023.

(b) the diminishing-balance method using double the straight-line rate for 2022 and 2023.

(c) the units-of-production method for 2022, assuming the machine usage was 1800 hours.

(d) prepare depreciation journal (with narrations) under straight-line method for 2022 and 2023 (both journal

and amount must be correct).