On January 1, 2018, Canseco Plumbing Fixtures purchased equipment for $30,000. Residual value at the end of

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On January 1, 2018, Canseco Plumbing Fixtures purchased equipment for $30,000. Residual value at the end of an estimated four-year service life is expected to be $2,000. The company expects the machine to operate for 10,000 hours. Calculate depreciation expense for 2018 and 2019 using each of the following depreciation methods:
(a) Straight line,
(b) Sum-of-the-years'-digits,
(c) Double-declining balance,
(d) Units-of-production using machine hours. The machine operated for 2,200 and 3,000 hours in 2018 and 2019, respectively.
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Intermediate Accounting

ISBN: 9781259722660

9th Edition

Authors: J. David Spiceland, James Sepe, Mark Nelson, Wayne Thomas

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