Your company purchases a patent for $42,000 to attempt to compete in a usually restricted market. This patent does not have a salvage value at the end of its 5-year useful life. You are tasked with computing the depreciation schedule and book value for the patent using double declining balance with a switch to the straight-line method (if necessary).

Question 1 Part A: Choose the correct formula for the Double-Declining Balance depreciation method.

Group of answer choices

Depreciation_n = B_n-1*(2/N)

where N = the useful life of the project

Depreciation_n = (Initial Cost Salvage Value) / (2*N)

where N = the useful life of the project

Depreciation_n = (Initial Cost Salvage Value) / N

where N = the useful life of the project

Depreciation_n = (B_n-1) / N

where N = the useful life of the project

Question 1 Part B: Complete the following table to show the depreciation schedule. If it is necessary to switch from DDB to SL depreciation, when the switch occurs, only enter the value of the SL depreciation and enter O for the DDB depreciation (e.g. when/if the switch occurs, DDB: 0 and SL: X). Enter your answers in the form 1234 (enter o for blank table cells). NO DECIMALS Year BM-1 (enter either the number DDB (enter either the number SL (enter either the number with with no decimals, or if blank) with no decimals, or O if blank) no decimals, or O if blank) DDB or SL? (enter DDB, SL, or O if neither applies below) D. (enter either the number B. (enter either the number with no decimals, or if with no decimals, or O if blank) blank) lo 11 13