Depreciation
GIVEN:	Acme Corporation purchased a new machine on September 30, 20X1 at a cost of $920,000.
	The machine is expected to last five years and have a salvage value of $10,000 at the end of
	that time. Acme has a calendar fiscal year. (Note: Make sure to record only 3 months depreciation in first year
	and 9 months depreciation in 5th year, where applicable).
REQUIRED:							$ 920,000
Part 1:	Determine the depreciation expense and the ending book values of the machine for						5
	fiscal years 20X1-20X6 using the straight-line depreciation method. (Show calculations.)
		Year		Depreciation Expense	Accumulated Depreciation	Ending Book Value
		Cost
		20X1
		20X2
		20X3
		20X4
		20X5
		20X6
Part 2:	Determine the depreciation expense and the ending book values of the machines for
	fiscal years 20X1-20X6 using the double declining balance depreciation method.
	(Show calculations.)
		Year		Depreciation Expense	Accumulated Depreciation	Ending Book Value
		Cost
		20X1
		20X2
		20X3
		20X4
		20X5
		20X6
Part 3:	Determine the depreciation expense and the ending book values of the machines for fiscal
	years 20X1-20X6 using the units of activity depreciation method. Assume the machine is
	expected to be used for 100,000 hours and was used as follows: 20X1: 14,000 hours; 20X2:
	18,000; 20X3: 18,000; 20X4: 20,000 hours; 20X5: 20,000 hours; and 20X6: 10,000 hours.
	(Show calculations.)
		Year	Hours Used	Depreciation Expense	Accumulated Depreciation	Ending Book Value
		Cost
		20X1
		20X2
		20X3
		20X4
		20X5
		20X6