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2. Gimme Coffee Company purchased a new espresso machine at the beginning of the year at a cost of $13,200. The estimated useful life was
2. Gimme Coffee Company purchased a new espresso machine at the beginning of the year at a cost of $13,200. The estimated useful life was 4 years, and the estimated residual value was $980. Assume that the estimated productive life of the machine was 9,400 hours. Actual annual usage was 3,760 hours in year 1; 2,820 hours in year 2; 1,880 hours in year 3; and 940 hours in year 4. Required: Complete a depreciation schedule (see table below) for each method (straight-line, units- of-production, and double-declining balance. Year Book value Depreciation expense Accumulated depreciation At acquisition 1 2 3 4
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