Question: Problem 11-3 (Part Level Submission) On June 15, 2014, a second-hand machine was purchased far $187 000. Before being put into service, the equipment was


Problem 11-3 (Part Level Submission) On June 15, 2014, a second-hand machine was purchased far $187 000. Before being put into service, the equipment was werhauled at a cost af $11,200, and additional costs of $400 for dirert material and $B00 far die labaur were paid in fina-tuning the controls. The machine has an estimated residual value of $6,000 at the end af its five-year useful life. The machine is expected to operate for 100,000 hours before it will be replaced and is expected to produce 12 million units in this time. Operating data for the next six fiscal years are provided below. The company has an October 31 fiscal year end. Depreciation expense should be calculated to the nearest half month Year 2014 2015 2016 Hours ot Operation 10,000 20,D00 20,000 20,000 18,000 12,000 Units Produced 110,000 70,oDa 264,000 110,000 134,000 112,ona 2017 2019 Calculate the depreciation charpes for each tiscal year under each of the following depreciation metheds. Where necessary, round deprediation rate per unit to four decimal places. Round unit of output per unit to 4 decimal places, e.g. 15,2345 and Round other ansivers to 0 decimal places, e.g. 5,275.) 1. Straight-line method 2. Activity method: based on output 3. Ativity method: based on input 5. CCA. Class 8, 20%
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