Depreciation by Three Methods; Partial Years

Perdue Company purchased equipment on October 1 for $46,660. The equipment was expected to have a useful life of three years, or 6,400 operating hours, and a residual value of $1,860. The equipment was used for 1,200 hours during Year 1, 2,200 hours in Year 2, 1,900 hours in Year 3, and 1,100 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: Round all final values for each depreciation method and each year to the nearest whole dollar.

a. Straight-line method Year Amount Year 1 $ 3,733 Year 2 $ 14,933 Year 3 $ 14,933 Year 4 $ 11,200 b. Units-of-activity method Year Amount Year 1 8,400 Year 2 15,400 Year 3 $ 13,300 Year 4 7,700 c. Double-declining-balance method Year Amount Year 1 $ Year 2 $ x x x x Year 3 Year 4