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answer me fast please Depreciation On July 2, 2020, Vicuna Inc. purchased equipment for $395,000 This equipment has an esitated useful life of 10 years
answer me fast please
Depreciation On July 2, 2020, Vicuna Inc. purchased equipment for $395,000 This equipment has an esitated useful life of 10 years and an est. res. Value of $8,500 Depreciation is taken for the portion useful life of six years and an estimated residual value of of the year the asset is used. The asset is a Class 8 asset with a maximumn CCA rate of 20% Vicuna has a December year end. Instructions a) Complete the form below by determining the depreciation expense/CCA and year-end book values UCC for 2020 and 2021 using the 1 double declining-balance method. 2 capital cost allowance method (using maximum rate). Double Declining-Balance Method 2020 2021 Depreciation expense for year Accumulated depreciation Year-end book value Capital Cost Allowance Method 2020 2021 CCA for year End of year UCC Total CCA claimed b) Instead, assume Vicuna had used straight-line depreciation during 2020 and 2021. During 2022, the company determined that the equipment would be useful to the company for only one more year beyond 2022. Residual value is estimated at $12,550 Calculate the amount of depreciation expense for the 2022 income statement. Round to the nearest dollarStep by Step Solution
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