On April 22, 2020, Pharoah Enterprises purchased equipment for $134,700. The company expects to use the...

  

Transcribed Image Text:

On April 22, 2020, Pharoah Enterprises purchased equipment for $134,700. The company expects to use the equipment for 12,000 working hours during its 4-year life and that it will have a residual value of $13,500. Pharoah has a December 31 year end and pro-rates depreciation to the nearest month. The actual machine usage was: 1,600 hours in 2020; 2,900 hours in 2021; 3,600 hours in 2022; 3,000 hours in 2023; and 1,100 hours in 2024. Your answer is correct. Calculate depreciation expense for the life of the asset under straight-line method. (Round answers to 0 decimal places, e.g. 5,276.) Depreciation Expense 2020 $20200 2021 s30300 2022 30300 2023 s30300 2024 s10100 On April 22, 2020, Pharoah Enterprises purchased equipment for $134,700. The company expects to use the equipment for 12,000 working hours during its 4-year life and that it will have a residual value of $13,500. Pharoah has a December 31 year end and pro-rates depreciation to the nearest month. The actual machine usage was: 1,600 hours in 2020; 2,900 hours in 2021; 3,600 hours in 2022; 3,000 hours in 2023; and 1,100 hours in 2024. Your answer is correct. Calculate depreciation expense for the life of the asset under straight-line method. (Round answers to 0 decimal places, e.g. 5,276.) Depreciation Expense 2020 $20200 2021 s30300 2022 30300 2023 s30300 2024 s10100