Hearty Fried Chicken bought equipment on January 2, 2016, for $39,000. The equipment was expected to remain in service for four years and to perform 11,000 fry jobs. At the endof the equipment's useful life, Hearty estimates that its residual value will be $6,000. The equipment performed 1,100 jobs the first year, 3,300 the second year , 4,400 the third year, and 2,200 the fourth year.

Requirements

1. Prepare a scheldule of depreciation expense, accumulated depreciation, and book value per year for the equipment under the three depreciation methods. Show your computations. Note: Three depreciation schedules must be prepared.

2.Which method tracks the wear and tear on the equipment most closely?

Requirements 1. Prepare a scheldule of depreciation expense,accumulated depreciation, and book value per year for the equipment under the three depreciation methods. Show your computations. Note: Three depreciation schedules must be prepared.

Begin by preparing a depreciation schedule using the straight-line method.

Straight - Line Depreciation Schedule

1-2-2016 asset cost and book value

12-31-2016

12-31-2017

12-31-2018