A machine waling $210,400 with a four-year life and an estimated $18,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 481,000 units of product during its life. It actually produces the following units: 121900 in Year 1, 124,300 in Year 2, 121,000 in Year 3, 123,800 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 DDB Production Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Units of production. Year Depreciation Expense Year 1 Year 2 Year 3 Year 4 Total Units of Production Units Depreciable Depreciation Units per unit 121.900 or $ 0.40 124,300 $ 0.40 121,000 $ 0.40 123,800 0.40 in $ Ama osting $210,400 with a four-year life and an estimated $18,000 salvage value is installed in Luther Company's factory on January the factory manager estimates the machine will produce 481,000 units of product during its ife. It actually produces the following units: 121900 in Year 1, 124 300 in Year 2, 121,000 in Year 3, 123,800 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 DDB Production 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 Year 1 $ 121,900 Year 2 124 300 Year 3 121.000 Year 4 123,800 Total $ 491.000 A machine costing $210,400 with a four-year life and an estimated $18,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 481,000 units of product during its life. It actually produces the following units: 121,900 in Year 1, 124,300 in Year 2, 121,000 in Year 3, 123,800 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 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 Beginning of Period Book Depreciation Depreciation Rate Expense Value % % End of Period Accumulated Book Value Depreciation Year $ 0 0 Year 1 Year 2 Year 3 Year 4 Total % 0 0 % $
