Company purchased a new machine which cost K22, 000. It is expected to last for five years and then be sold for scrap for K2, 000. Required Work out the depreciation to be charged each year under: (i) The straight line method (2marks) (ii) The reducing balance method (using a rate of 25%) (5marks) (d) A business purchased a non-current asset on 1 January 2011 for K35, 000. It had an estimated life of six years and an estimated residual value of K5, 000. The asset was eventually sold after three years on 1 January 2014 to another trader who paid K17, 500 for it. Required Calculate the profit or loss on disposal, assuming that the business uses the straight line method for depreciation? (8marks)