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Tory enterprises

1. Tory Enterprises pays $242,400 for equipment that will last five years and have a $45,600 salvage value. By using the equipment in its operations for five years, the company expects to earn $90,500 annually, after deducting all expenses except depreciation. (Round your answers to the nearest whole dollar.)A) Calculate annual depreciation expenses using double-declining-balance method. (90% ANSWERED AND ATTACHED)B)  Prepare a table showing income before depreciation, depreciation expense, and net (pretax) income for each year and for the total five-year period, assuming double-declining-balance depreciation. (Net loss should be indicated with a minus sign.) (ATTACHED)2. Apex Fitness Club uses straight-line depreciation for a machine costing $29,900, with an estimated four year life and a $3,000 salvage value. At the beginning of the third year, Apex determines that the machine has three more years of remaining useful life, after which it will have an estimated $2,550 salvage value.A) Compute the machine’s book value at the end of its second year. (Do not round your intermediate calculations.)B) Compute the amount of depreciation for each of the final three years given the revised estimates. (Do not round your intermediate calculations. Round your answers to the nearest whole dollar.)

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