Which method of depreciation, from parts 1-3, would result in the largest net income in the first year for Watkins Production? Explain your reasoning? Which method of depreciation, from part 1-3, would results in the largest net income over the entire 5 years? Explain your reasoning ? Watkins Production purchased a new computerized machine at a cost of $450,000. The machine has a residual value of$64,000 and an expected life of 5 years.1. Using the table I started for you below, calculate the depreciation expense, accumulated depreciation and book value for all 5 yearsof the machine's expected life using the straight-line method depreciationYearDepreciation Expense Accumulated Depreciation01 $2 Ś3 $4 $5 $77,200.00$77,200.00 $77,200.00 $77,200.00 $77,200.00 $Book Value$ 450,000.0077,200.00 $ 372,800.00154,400.00 $295,600.00231,600.00 $218,400.00308,800.00 $141,200.00386,000.00 $ 64,000.00 Watkins Production purchased a new computerized machine at a cost of $450,000. The machine has a residual value of $64,000 and anexpected life of 5 years.1. calculate the depreciation expense, accumulated depreciation and book value for all 5 years of the machine's expected life using the double-declining-balance method of depreciation. For year 4, do not double the depreciation ratio (just use the single declining balance ratio) and foryear 5, use the previous year book value and the known ending residual value to calculate that last year of depreciation expense.YearDepreciation Expense01 $2 $3 $4 $5 $Accumulated Depreciation180,000.00 $108,000.00 $64,800.00 $19,440.00 $13,760.00 $Book Value$450,000.00180,000.00 $270,000.00288,000.00 $162,000.00352,800.00 $ 97,200.00372,240.00 $ 77,760.00386,000.00 $ 64,000.00

Name: Which method of depreciation, from parts 1-3, would result in the larg
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Description: Which method of depreciation, from parts 1-3, would result in the largest net income in the first year for Watkins Production? Explain your reasoning? Which method of depreciation, from part 1-3, would results in the largest net income over the ent