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I want the steps and explanation so I can understan better how to do this Depreciation by Three Methods; Partial Years Perdue company purchased equipment
I want the steps and explanation so I can understan better how to do this
Depreciation by Three Methods; Partial Years Perdue company purchased equipment on April 1 for $52,290. The equipment was expected to have a useful life of three years, or 7,200 operating hours, and a residual value of $1,890. The equipment was used for 1,300 hours during Year 1, 2,500 hours in Year 2, 2,200 hours in Year 3, and 1,200 hours in Year 4. Required: Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2, Year 3, and Year 4, by (a) the straight- line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Note: Round all final values for each depreciation method and each year to the nearest whole dollar. a. Straight-line method Year Amount Year 1 16,997 Year 2 16,997 Year 3 16,997 Year 4 16,997 b. Units-of-activity method Year Amount Year 1 Year 2 Year 3 Year Amount Year 1 Year 2 Year 3 Year 4 c. Double-declining-balance method Year Amount Year 1 Year 2 Year 3 ol Year 4 Step by Step Solution
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