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Depreciation Methods Sorter Company purchased equipment for $330,000 on January 2, 2019. The equipment has an estimated service life of 8 years and an estimated
Depreciation Methods
Sorter Company purchased equipment for $330,000 on January 2, 2019. The equipment has an estimated service life of 8 years and an estimated residual value of $33,000 .
Required:
Compute the depreciation expense for 2019 under each of the following methods:
- Straight-line: $
- Sum-of-the-years'-digits: $
- Double-declining-balance: $
- Depreciation causes the book value of the assets to *BLANK* each period. When an accelerated depreciation method is used, the rate of return *BLANK* each period.
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