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1 (6 points) Darling Company purchased a building on May 1, 2022 for $6,000,000. Darling estimates the building to have a useful life of 30
1 (6 points) Darling Company purchased a building on May 1, 2022 for $6,000,000. Darling estimates the building to have a useful life of 30 years and a residual value of 10% of the purchase price. Darling depreciates its buildings using the straight-line method. On October 1, 2022, Darling Company purchased computers for a total of $25,000. Darling estimates the computers to have a useful life of 5 years and a residual value of $3,000. Darling depreciates its computers using the double-declining-balance method. Darling's fiscal year end is December 31st. Required: 1. Prepare a detailed calculation of the depreciation expense to be recorded by Darling Company in fiscal 2022 on its building. 2. Prepare a detailed calculation of the depreciation expense to be recorded by Darling Company in fiscal 2023 on its computers. NOTE: YOUR SOLUTION MUST BE IN HAND- WRITTEN FORM AND INCLUDE ALL SUPPORTING CALCLUATIONS OR YOU WILL RECEIVE 50% OF THE POINTS POSSIBLE
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