Refer to the data given for Surkis Company in BE9-5. Assume the equipment was purchased on April 6, 2014, and that the company pro-rates depreciation to the nearest month. Using the straight-line method, calculate the depreciation expense
In BE9-5
Surkis Company acquires equipment at a cost of $42,000 on January 3, 2014. Management estimates the equipment will have a residual value of $6,000 at the end of its four-year useful life. Assume the company uses the straight-line method of depreciation. Calculate the depreciation expense
(a) For each year of the equipment's life,
(b) In total over the equipment's life.