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A machine costing $211,200 with a four-year life and an estimated $16,000 salvage value is installed in Luther Companys factory on January 1. The factory

A machine costing $211,200 with a four-year life and an estimated $16,000 salvage value is installed in Luther Companys factory on January 1. The factory manager estimates the machine will produce 488,000 units of product during its life. It actually produces the following units: 121,500 in Year 1, 123,900 in Year 2, 121,000 in Year 3, 131,600 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimatethis difference was not predicted. (The machine cannot be depreciated below its estimated salvage value.)image text in transcribedimage text in transcribed

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A machine costing $211,200 with a four-year life and an estimated $16,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 488,000 units of product during its life. It actually produces the following units: 121,500 in Year 1, 123,900 in Year 2, 121,000 in Year 3, 131,600 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate-this difference was not predicted. (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 DDB Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Straight-line depreciation. Straight-Line Depreciation Year Depreciation Expense 1 2 3 4 Total $ 0 Straight Line Units of Production DDB Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Double- declining-balance. DDB Depreciation for the Period End of Period Year Beginning of Period Book Value Depreciation Depreciation Rate Expense Accumulated Depreciation Book Value 1 % $ 0 % 0 WN % 0 4 % 0 Total $ 0

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