On march 31, 2018, Canseco plumbing Fixtures purchased equipment for $32,000. Residual worth at the finish of an estimated four-year service life is meant to be $8,000. The company expects the an equipment to run for 20,000 hours.

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a. calculation depreciation price for 2018 and 2019 using directly line method. b. calculate depreciation price for 2018 and 2019 making use of sum-of-the-years’-digits method. c. calculate depreciation cost for 2018 and 2019 utilizing double-declining balance method.

A.

Calculate depreciation cost for 2018 and 2019 using straight line method.

Straight-Line Depreciation
Choose Numerator: / select Denominator: = annual Depreciation
? / ? = Annual Depreciation
? / ? = ?
Year annual Depreciation x portion of Year = Depreciation Expense
2018 x ? = ?
2019 x ? = ?

B. calculate depreciation cost for 2018 and also 2019 making use of sum-of-the-years’-digits method.

C. calculation depreciation expense for 2018 and 2019 using double-declining balance method.

Depreciation for the Period finish of Period
yearly Period beginning of period Book Value Depreciation Rate portion of Year Depreciation Expense accumulated Depreciation publication Value
2016 ? ? ? ?
2017 ? ? ? ?

*

Monte’s Coffee company purchased packaging tools on January5, 2014, for $90,000. The equipment was supposed to have actually a usefullife of 3 years, or 20,000 operating hours, and a residualvalue that $6,000. The equipment was provided for 8,900 hours during2014, 7,100 hours in 2015, and 4,000 hrs in 2016.

Required:
1. Determine the lot ofdepreciation expense for the years ended December 31, 2014, 2015,and 2016 by (a) the straight-line method, (b) the units-of-outputmethod, and (c) the double-declining-balance method. Additionally determinethe total depreciation expense for the 3 years by every method.(Note: For decreasing BALANCE ONLY, round theanswer for each year to the nearest entirety dollar.)
2. What method yields the highestdepreciation cost for 2014?
3. What an approach yields the mostdepreciation over the three-year life that the equipment?

X

Depreciation Expense

1. Recognize the quantity of depreciation expense for the yearsended December 31, 2014, 2015, and 2016 by (a) the straight-linemethod, (b) the units-of-output method, and also (c) thedouble-declining-balance method. Also determine the totaldepreciation cost for the 3 years by every method.

Score: 0/45

Depreciation Expense

1

Year

Straight-Line Method

Units-of-Output Method

Double-Declining-Balance Method

2

2014

3

2015

4

2016

5

Total

Points:

0 / 12

Feedback

Check mine Work

Asset cost minus residual value equates to depreciable cost. Amount theyearly depreciation to determine complete depreciation.

Annual units-of-production depreciation allocates the cost ofthe asset equally over the units developed (hours).

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The double-declining price is 2 times the straight-line rate.Book worth is the asset price minus gathered depreciation. In thefirst year, the balance in the collected depreciation account iszero.