Calculating Depreciation Expense for the First Two Years

Partial Depreciation for Year 1

Full Year Deprecation for Year 2

Straight-Line Depreciation

Year 2 Full Year Depreciation/12 Months

Depreciable Cost //// Useful Life in Years = Annual Depreciation

$ = $

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Units of Production Method

First: Determine the amount of Depreciable Cost

Cost Less Salvage Value = Depreciable Cost

$ $ = $

Second: Determine the Unit Depreciation Rate

Depreciable Cost //// Useful Life in Units = Unit Depreciation Rate

$ = $