A printing press acquired at a cost of $880,000 has an estimated useful life of 10 years,

Question:

A printing press acquired at a cost of $880,000 has an estimated useful life of 10 years, or 75,000 hours, and an expected residual value of $40,000. The press was put into operation on May 21, 2013. Determine the depreciation for 2013 and 2014 by
(a) The straight-line method,
(b) The double-declining-balance method,
(c) The unit-of-production method, assuming the press operated for 3,000 hours in 2013 and 7,000 hours in 2014. The company has a December 31 year-end. Show the presentation for the printing press for 2013 and 2014, using the units-of-production method.
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...