Question: Example 2 . 3 3 : A company purchases machinery for $ 5 0 , 0 0 0 with an expected useful life of 1

Example 2.33: A company purchases machinery for $50,000 with an expected useful life of 10 years and a salvage value of $5,000. Calculate the depreciation for the first year using:
(a) Straight-Line Method
(b) Declining Balance Method
Compare the results and discuss how the choice of depreciation method impacts the financial statements and the companys net income.

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