Question: Need help with this one.. PR 10-2A Comparing three depreciation methods OBJ. 2 traight- Dexter Industries purchased packaging equipment on January 8 for $72,000. The

Need help with this one..

Need help with this one.. PR 10-2A Comparing three depreciation methods OBJ.

PR 10-2A Comparing three depreciation methods OBJ. 2 traight- Dexter Industries purchased packaging equipment on January 8 for $72,000. The equip- on, ment was expected to have a useful life of three years, or 18,000 operating hours, and a residual value of $4,500. The equipment was used for 7,600 hours during Year 1, 6,000 hours in Year 2, and 4,400 hours in Year 3. W Instructions 1. Determine the amount of depreciation expense for the three years ending December 31 by (a) the straight-line method, (b) the units-of-activity method, and (c) the double- declining-balance method. Also determine the total depreciation expense for the three years by each method. The following columnar headings are suggested for recording the depreciation expense amounts: Depreciation Expense Straight- Units-of- Double-Declining- Line Activity Balance Year Method Method Method 2. What method yields the highest depreciation expense for Year 1? 3. What method yields the most depreciation over the three-year life of the equipment

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