**Ginsberg Company Depreciation Analysis****Overview:**Ginsberg Company installs a computerized manufacturing machine at the beginning of the year at a cost of $99,000. The machine's useful life is estimated at 10 years, with a salvage value of $12,900.**Cost Details:**- **Cost:** $99,000- **Estimated Useful Life:** 10 years- **Salvage Value:** $12,900**Depreciation Expense Computation:**- **Compute Depreciation Expense for Year 1**- **Compute Depreciation Expense for Year 2****Requirements:**1. **Determine the machine’s first-year depreciation using the double-declining-balance function.**2. **Determine the machine’s second-year depreciation using the double-declining-balance function.**3. **Verify the machine’s first-year depreciation WITHOUT using the double-declining-balance function.**4. **Verify the machine’s second-year depreciation WITHOUT using the double-declining-balance function.**(Note: The spreadsheet indicates specific cells for calculation to be filled in for each requirement. No graphs or diagrams are present in the image.)

The objective of this question is to calculate the depreciation expense for the first and second year using the double-declining-balance method and to verify the depreciation without using this method.The double-declining-balance method is a type of accelerated depreciation method. In this method, a higher depreciation expense is recognized in the earlier years of an asset's life and lower expense in the later years. This is in contrast to the straight-line depreciation method, which spreads the cost evenly over the life of an asset.To calculate the depreciation expense using the double-declining-balance method, we first need to calculate the straight-line depreciation rate. This is done by dividing 1 by the useful life of the asset. In this case, the useful life of the machine is 10 years, so the straight-line depreciation rate is 1 / 10 = 0.1 or 10%.Next, we double the straight-line rate to get the double-declining-balance rate. So, 10% * 2 = 20%.To calculate the depreciation expense for the first year, we multiply the double-declining-balance rate by the beginning book value of the asset. The beginning book value is the cost of the asset, which is $99,000. So, the first year depreciation expense is 20% * $99,000 = $19,800.To calculate the depreciation expense for the second year, we subtract the first year depreciation from the beginning book value to get the ending book value for the first year. So, $99,000 - $19,800 = $79,200. Then, we multiply the double-declining-balance rate by the ending book value for the first year. So, the second year depreciation expense is 20% * $79,200 = $15,840.To verify the first-year depreciation without using the double-declining-balance method, we can use the straight-line method. In this method, we subtract the salvage value from the cost of the asset and divide by the useful life. So, ($99,000 - $12,900) / 10 = $8,610. This is less than the first year depreciation calculated using the double-declining-balance method, which is expected as the double-declining-balance method results in higher depreciation in the earlier years.To verify the second-year depreciation without using the double-declining-balance method, we can again use the straight-line method. The depreciation expense is the same each year in the straight-line method, so the second-year depreciation is also $8,610. This is less than the second year depreciation calculated using the double-declining-balance method, which is again expected.The first-year depreciation expense using the double-declining-balance method is $19,800 and the second-year depreciation expense is $15,840. When verified using the straight-line method, the first and second year depreciation expenses are both $8,610, which are less than the expenses calculated using the double-declining-balance method as expected.