LONG-TERM ASSETS - PROBLEM Exercise 1: On January 1, 2018, the company purchased factory equipment for $1,400,000. It is estimated that the equipment will have a $140,000 residual value at the end of its estimated 5- year useful life. If the company uses the double-declining-balance method of depreciation. Required: 1. Compute depreciation expense for year 2018 and 2019. 2. Compute carrying value as of December 31, 2018 and 2019. 3. Assume the company purchased factory equipment on April 1, 2018, compute depreciation expense for year 2018 and 2019. 4. Assume the company purchased factory equipment on April 1, 2018, compute carrying value as of December 31, 2018 and 2019