Depreciation by Units-of-Output Method

A diesel-powered tractor with a cost of $221,580 and estimatedresidual valueof $4,300 is expected to have a useful operating life of 97,000 hours. During February, the tractor was operated 200 hours.

Determine the depreciation for the month. If required, carry out any division to two decimal places.

$

Straight-Line Depreciation

A refrigerator used by a meat processor has a cost of $26,790, an estimatedresidual valueof $2,870, and an estimated useful life of 8 years.

What is the amount of the annualdepreciationcomputed by thestraight-line method?

$