A land grant university has upgraded its course management system (CMS), integrating the system throughout all of its main campus and branch campuses around the state. It has purchased a set of 15 servers and peripherals for needs associated with the CMS. The total cost basis is $120,000 and expected use will be 5 years, after which they will have no projected value. Calculate the depreciation deduction and book value for each year.

a. Use straight-line depreciation (9.3)

b. Use declining balance depreciation, with a rate that ensures the book value equals the salvage value (9.4)

c. Use double declining balance depreciation (9.4)

d. Use double declining balance, switching to straight-line depreciation (9.5)

e. Use sum-of-years’-digits depreciation (9.A)