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Depreciation by Three Methods; Partial Years Perdue Company purchased equipment on April 1 for $73,440. The equipment was expected to have a useful life of

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Depreciation by Three Methods; Partial Years Perdue Company purchased equipment on April 1 for $73,440. The equipment was expected to have a useful life of three years, or 5,940 operating hours, and a residual value of $2,160. The equipment was used for 1,100 hours during Year 1, 2,100 hours in Year 2, 1,800 hours in Year 3, and 940 hours in Year 4. Required: Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2, Year 3, and Year 4, by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Note: FOR DECLINING BALANCE ONLY, round the multiplier to four decimal places. Then round the answer for each year to the nearest whole dollar a. Straight-line method Year Amount Year 1 $ 17,820 Year 2 $ 23,760 Year 3 $ 23,760 Year 4 $ 5,940 b. Units-of-activity method Year Amount Year 1 $ 13,200 Year 2 $ 25,200 Year 3 $ 21,600 Year 4 s 11,280 c. Double-declining-balance method Year Amount Year 1 s x Year 2 $ s 36,720 24,480 8,160 1,920 Year 3 Year 4

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