ACCT 202; CHAPTER 11; #2

Monty Corp. purchased a piece of equipment on February 1, 2020, for $96,000. The equipment has an estimated useful life of 8 years, with a residual value of $24,000, and an estimated physical life of 10 years, with no salvage value. The equipment was delivered to Montys factory floor, installed, and in working condition, on March 1, 2020. On April 1, 2020, Montys staff used the equipment to produce the first saleable units.

Calculate the 2020 depreciation expense if Monty uses straight-line depreciation and prepares financial statements in accordance with IFRS. (Do not round intermediate calculation and round answer to 0 decimal places, e.g. 5,275.)

Depreciaton Expense = $???

Calculate the 2020 depreciation expense if Monty prepares financial statements in accordance with ASPE. (Do not round intermediate calculation and round answer to 0 decimal places, e.g. 5,275.)

Dpreciation Expense = $???