Wood Company purchased a new machine on January 1, 2019, at a cost of $240.000.The company

estimated that the machine will have a salvage value of $40.000.The machine is expected to be used

for 10.000 working hours during its 5-year life.

Instructions:

Compute the depreciation expense under the following methods for the year indicated:

a. Straight line for 2019

b. Units-of-activity for 2019, assuming machine usage was 1.700 hours.

c. Declining -balance using double the straight line rate for 2019 and 2020.