You are advised to spend 20 minutes on this question

Dandarion company decided to purchase a piece of equipment on 1.1.2020 with a total cost of $290,000. Dandarion estimated that it will serve the company for 12 years and expected to have no salvage value at the end of its useful life. Furthermore, the company estimated that it will produce approximately 650,000 units during its useful life.

The following represent the actual units produced at the end of each year:

Year	# of units produced
2020	55,000
2021	45,000
2022	120,000
2023	70,000
2024	60,000
2025	32,000
2026	68,000
2027	16,000
2028	25,000
2029	59,000
2030	50,000
2031	50,000

You are required to answer the following:

1. What is the book value of the asset at 1.1.2020

2. What is the depreciation expense for 2024 using the straight line method

3. What is the depreciation expense for 2024 using the double declining balance method

4. What is the depreciation expense for 2024 using the unit of activity method

5. What is the book value at the end of 2024 using the straight line method

6.What is the book value at the end of 2025 using the unit of activity method

7. What is the book value at the end of 2025 using the double declining method

8. What is the book value at 31.12.2031 for this asset

9. Assume that we have purchased the asset at 1.4.2020, what is the balance of Accumulated depreciation at 31.12.2020 under Straight line method