Valley, Inc., purchased a new machine on October 1 of the 2020 at a cost of $118,000. The machines estimated useful life at the time of the purchase was 5 years, and its residual value was $16,000. The company reports on a calendar year basis. Prepare a complete depreciation schedule, beginning with the 2020, under each of the following methods listed (assume that the half-year convention is used). a- Straight-line. b- 200 percent declining-balance. c- 150

percent declining-balance, switching to straight-line when that maximizes the expense.

d- Which of the three methods computed in part a is most common for financial reporting purposes? Explain.