Torge Company bought a machine for $68,300 cash. The estimated useful life was five years, and the estimated residual value was $6,100. Assume that the estimated useful life in productive units is 155,500. Units actually produced were 41,100 in year 1 and 46,650 in year 2.

1.

Determine the appropriate amounts to complete the following schedule.

Which method would result in the lowest net income for Year 1?

Units of production

Double Declining balance

Straight t Line

2-b.

Which method would result in the lowest net income for Year 2?

	Units-of-production
	Double-declining-balance
	Straight-line

3.

Which method would result in the lowest fixed asset turnover ratio for year 1?

	Straight-line
	Units-of-production
	Double-declining-balance

Depreciation Expense for Book Value at the End of Method of Depreciation Straight-line Units-of-production Double-declining-balance Year 1 Year 2 Year 1 Year 2