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Dexter Industries purchased packaging equipment on January 8 for $187,000. The equipment was expected to have a useful life of four years, or 5,200
Dexter Industries purchased packaging equipment on January 8 for $187,000. The equipment was expected to have a useful life of four years, or 5,200 operating hours, and a residual value of $15,400. The equipment was used for 1,820 hours during Year 1, 1,092 hours in Year 2, 1,456 hours in Year 3, and 832 hours in Year 4. Required: 1. Determine the amount of depreciation expense for the four years ending December 31 by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the four years by each method. Round the answer for each year to the nearest whole dollar.
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