Exercise Two: Pura Vida Design has recently purchased a brand new lathe machine for 112,000 to upgrade their product output from the assembly line. Given past experience, management estimates the salvage value of this asset to be $10,000 after 20 years. As shown in class, (a) prepare a Depreciation Schedule under the Straight Line Method for the company's new asset, (b) in real-life, what is the preferred method used by most companies for depreciating this asset?