At the beginning of the fiscal year, Denny Services bought a new copier for $ 6,500, with an estimated salvage (or trade-in) value of $ 500 and an estimated useful life of five years. Determine the amount of the depreciation for the first and second years by the following methods:

a. Straight-line

b. Double-declining-balance

c. Units-of-production (Useful life is 8,400 hours. Year 1 use is 1,050 hours; Year 2 use is 500 hours. Compute depreciation per hour, then depreciation for Year 1 and Year 2.)

d. MACRS (Assume that the asset was purchased after 1986 and is five-year property. Calculate the depreciation for income tax reporting.) Round annual depreciation to whole dollars.