Depreciation A machine was purchased on 1 January 2019 for $125 000. The machine was estimated to have a useful life of five years and a residual value of $5 000. Required a. What was the amount in accumulated depreciation at 1 January 2021 using the straight-line method? b. If the machine was sold three years after it was acquired for an amount of $65 000, would there be a gain or loss? What would that amount be? C. If the reducing balance (diminishing balance) method had been used in (b) above, at one-and-a-half times the straight-line rate, would your answer be different from (b) above and, if so, what would the gain or loss be? d. Why do we depreciate in accounting? Type each answer below with its corresponding letter (a-d)