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1 ook ences Problem 8-2A (Algo) Depreciation methods LO P1 Check my work A machine costing $205,800 with a four-year life and an estimated
1 ook ences Problem 8-2A (Algo) Depreciation methods LO P1 Check my work A machine costing $205,800 with a four-year life and an estimated $15,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 477.000 units of product during its life. It actually produces the following units: 122,800 in Year 1, 123,800 in Year 2, 119,900 in Year 3, 120,500 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate-this difference was not predicted. Note: The machine cannot be depreciated below its estimated salvage value. Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. (Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.) Complete this question by entering your answers in the tabs below. Straight Line Units of Production DOB Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Units of production. Units of Production Year Units Depreciable Units Depreciation per unit Depreciation Expense Year 1 122,800 Your 2 123.800 122,800 123,800
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