Question
Coronado Company purchased equipment for $222,800on October 1, 2020. It is estimated that the equipment will have a useful life of8years and a salvage value
Coronado Company purchased equipment for $222,800on October 1, 2020. It is estimated that the equipment will have a useful life of8years and a salvage value of $14,000. Estimated production is36,000units and estimated working hours are20,000. During 2020, Coronado uses the equipment for550hours and the equipment produces1,100units. Compute depreciation expense under each of the following methods. Coronado is on a calendar-year basis ending December 31. (Round rate per hour and rate per unit to 2 decimal places, e.g. 5.35 and final answers to 0 decimal places, e.g. 45,892.)
(a) | Straight-line method for 2020 | $enter a dollar amount | ||
---|---|---|---|---|
(b) | Activity method (units of output) for 2020 | $enter a dollar amount | ||
(c) | Activity method (working hours) for 2020 | $enter a dollar amount | ||
(d) | Sum-of-the-years'-digits method for 2022 | $enter a dollar amount | ||
(e) | Double-declining-balance method for 2021 | $enter a dollar amount |
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