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On January 1, 2018, Air Asias purchased a used airplane for $54,000,000. Air Asias expects the plane to remain useful for five years (5,000,000 miles) and to have a residual value of $4,000,000. The company expects the plane to be flown 1,100,000 miles the first year. Read the requirements Requirement 1a. Compute Air Aslass first-year depreciation expense on the plane using the straight-line method. Begin by selecting the formula to calculate the companys first-year depreciation expense on the plane using the straight-line method. Then enter the amounts and calculate the depreciation for the first year. -Straight-line depreciation )1 Requirement 1b. Compute Air Asiass firsf-ysar depreciation expense on the plane using the units-of-production method Before calculating the first-year depreciation expense on the plane using the units-of-production method, calculate the depreciation expense per unit. Select the formula, then enter the amounts and calculete the depreciation per unit. Depreciation per unit Now, select the formula, enter the amounts, and calculate the companys first-year deprecilation expense on the plane using the units-of-production method Units-of-production depreciation Requirement 1c. Compute Air Asiass first-year depreciation expense on the plane using the double-declining-balance methodOn January 1, 2018, Air Asias purchased a used airplane for $54,000,000. Air Asias expects the plane to remain useful for five years (5,000,000 miles) and to have a residual value of $4,000,000. The company expects the plane to be flown 1,100,000 miles the first year Read the requirements. Requirement 1c. Compute Air Asiass first-year depreciation expense on the plane using the double-declining-balance method. Begin by selecting the formula to calculate the companys first-year depreciation expense on the plane using the double-declining-balance method. Then enter the amounts and calculate the depreciation expense for the first year. (Enter O for items with a zero value.) ) x - balance depreciation Requirement 2. Show the airplanes book value at the end of the first year for all three methods. Straight-Line Units-of-production Double-declining-balance Cost Less: Accumulated Depreclation Book Value- Units-of-production depreciation Accumulated depreciation Cost Current year usage Depreciation Depreciation per unit Net book value Residual value Useful life siass first-year depreciation expense on the plane using the double-declining-bal calculate the companys first-year depreciation expense on the plane using the d Doub - balanc- Units-of-production depreciation Accumulated depreciation Cost Current year usage Depreciation Depreciation per unit Net book value Residual value Useful life siass first-year depreciation expense on the plane using the double-declining-bal calculate the companys first-year depreciation expense on the plane using the d Doub - balancDouble-declinino ) x - balance depreciation 2 x (1/Useful life) 3 x (1/Useful life) 3+(1/ Useful life) Accumulated depreciation Cost Current year usage Rec s book value at the end of the first year for all three method:s Straight-Line Units-of-production Double-declining-balance Co Les Bor Depreciation Depreciation per unit Net book value Residual value Useful life ho number in the input fields and then continue to the next question.Requirements 1 1. Compute Air Asiass first-year depreciation expense on the plane using the following methods a. Straight-line b. Units-of-production c. Double-declining-balance 2. Show the airplanes book value at the end of the first year for all three methods. Print DonePlease use same format in response.

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1. Depreciation under Straight Line Method Residual Value Useful Life Straight-line depreciation $54,000,000- S4,000,000 $10,000,000 1b. Deprcciation under Units-of-Production Method Cost Residual Value Useful Life Depreciation per Unit $54,000,000 $4,000,000 5,000,000 $10 Depreciation per Unit XCurrent Year Usage Units-of-Production depreciation $10 $1,100,000 $11,000,000 1c. Depreciation under double-declining balance Method Cost Valuc X2x (1 /Useful Life) -double-declining balance depreciation $54,000,000 $4,000,000 2 x (1/5) $20,000,0002. Book Value at the end of the first vear for all three methods Straight-Line $54,000,000 $10,000,000 $44,000,000 Units-of-production Double-declining balance Cost Less: Accurnulated depreciation Book Valuc S54,000,000 $11,000,000 $43,000,000 $54,000,000 $20,000,000 $34,000,000

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