Orange airways has purchased new machinery for R320 000. The machinery has an expected lifespan of eight years, an estimated operations life of 80 000 hours and an estimates salvage value of R40 000. 1. Calculate the depreciation expense for the first full year under each of the following methods: Straight line method. 2.Calculate the units of production method(assume the equipment ran for 10 000 hours in the first year) 3. calculate the double declining balance method

Answer rating: 100% (QA)

1 Straight Line Method Depreciation Expense per Year Cost of Machinery Salvage Value Useful Life Dep... View the full answer