Question
Graphics Service Company purchased a new color copier @ the beginning of 2014 for $36,900. The copier is expected to have a five year useful
Graphics Service Company purchased a new color copier @ the beginning of 2014 for $36,900. The copier is expected to have a five year useful life and a $6300 salvage value. Copy production was estimated at 2,000,000 copies Actual copy production for the five years was as follow:
2014: 553,500 2015: 484,800 2016: 381,400 2017: 391,700 2018: 238,300. The copier was sold at the end of 2018 for 6,750
Required: a Compute the depreciation expense for each of the five years, using double-declining-balance depreciation (Double-Declining Balance 2014, 2015, 2016, 2017, and 2018)
Required: b. Compute the depreciation expense for each of the five years, using units-of-production depreciation. Units-of-Production 2014, 2015, 2016, 2017, 2018
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