Question: Tops Ltd purchased a new machine on 1 October 2015 at a cost of $228,000. The entity estimated that the machine has a residual value

Tops Ltd purchased a new machine on 1 October 2015 at a cost of $228,000. The entity estimated that the machine has a residual value of $28,000. The machine is expected to be used 40,000 working hours during. Its 10-year life. Assume a 31 December year-end.

Required:

Calculate the depredation expense using the following method in the year Indicated:

The straight-line method tor 2015 and 2016.

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