Depreciation By Three Methods Partial Years Perdue Company Purchased Equipment On April 1 For 100 170 The Equipment W 1 (32.17 KiB) Viewed 61 times
Depreciation By Three Methods Partial Years Perdue Company Purchased Equipment On April 1 For 100 170 The Equipment W 2 (19.63 KiB) Viewed 61 times
Depreciation by Three Methods: Partial Years Perdue Company purchased equipment on April 1 for $100,170. The equipment was expected to have a useful life of three years, or 8,100 operating hours, and a residual value of $2,970. The equipment was used for 1,500 hours during Year 1, 2,800 hours in Year 2, 2,400 hours in Year 3, and 1.400 hours in Year 4. Required: Determine the amount of depreciation expense for the years ended December 31, Year 3, Year 2 Year 3, and Year 4, by (a) the straight line method, (b) units-of-output method, and (c) the double-declining-balance method. Note: FOR DECLINING BALANCE ONLY, round the multiplier to four decimal places. Then round the answer for each year to the nearest whole dollar a. Straight-line method Year Amount Year 1 24,300 Year 2 32,400 Year 32,400 Year 4 8,100 b. Units-of output method Year Amount Year 18,000 Year 2 33,600 28,800 Year 3
c. Double-declining-balance method Year Amount Year 1 100,170 X Year 2 II Year 3 Year 4
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