Exercise 1 from our first class period discussing Chapter 11 noted the following information:

On January 7, 2017, Barker Company purchased equipment for $350,000. Estimated residual value at the end of an estimated six-year service life is $50,000.

Depreciation in that exercise was calculated for two years using the following methods:

1. Straight-line, with a net balance of $250,000 after 2018

2. Sum-of-the-years-digits, with a net balance of $192,857 after 2018

3. Double-declining balance, with a net balance of $155,555 after 2018

Note: Disregard the other method units of production calculated in that exercise.

After two years of use, Barker determines that the equipment is usable for six more years (a total of eight years) with a $40,000 salvage value.

Required: Rounding answers to the nearest whole dollar, calculate the revised depreciation for 2019 using:

1. Straight-line:

Revised depreciation = (Book value new salvage value) / Remaining estimated useful life (EUL)

2. Sum-of-the-years-digits (SYD):

Revised depreciation = (Book value new salvage value) x (# of years of EUL remaining from

beginning of year / SYD)

(3) Double-declining balance:

Revised depreciation = Book value x 2 / Remaining EUL