Lord Company purchased a machine on January 2, 2016, for $ 70,000. The machine had an expected
1. Prepare a schedule showing depreciation expense for 2016 and 2017 and the book value of the asset at the end of 2016 and 2017 for each of the following methods (round your answers to the nearest dollar):
a. straight- line method
b. activity method base on hours worked
c. activity method based on units of output
d. sum- of- the- years’- digits method
e. double- declining- balance method
2. Next Level Under what conditions would it be appropriate to use each of the depreciation methods discussed above?
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