If Machine 2 was purchased on October 1 instead of July 1, what would be the depreciation expense for this machine in 2019? In 2020?

A) Depreciation expense in 2019

B) Depreciation expense in 2020

In recent years, Sandhill Corporation has purchased three machines. Because of frequent employee turnover in the accounting department, a different accountant was in charge of selecting the depreciation method for each machine, and various methods have been used. Information concerning the machines is summarized in the table below. Residual Value Machine Acquired Cost Useful Life (in years) 1 Jan 1, 2018 $90,700 $13,000 5 Depreciation Method Straight-line Diminishing-balance Units-of-production 2 July 1, 2019 85,000 9,490 5 3 Nov. 1, 2019 64,703 6,140 6 For the diminishing balance method, Sandhill Corporation uses double the straight-line rate. For the units-of-production method, total machine hours are expected to be 21,690. Actual hours of use in the first 3 years were: 2019,440: 2020.4.200; and 2021,4,610, Machine 2: Diminishing balance depreciation Calculation Year Carrying Amount Beg. of Year Depreciation Rate # of months Depreciation Expense Accum Deprec 2019 $ 85000 40% 6/12 $ 17000 $ 2020 68000 40 % 12/12 27200 2021 40800 40 % % 12/12 2 16320 2022 244480 0 % 12/12 9792 2023 14688 40 96 % 6/12 5198 Machine 2: Diminishing-balance depreciation End of Year Calculation Depreciation Rate # of months Depreciation Expense Accumulated Depreciation Carrying Amount 40% 6/12 $ 17000 17000 $ $ 68000 40 % 12/12 - 27200 14200 10800 40 % 12/12 16320 60520 241180 40 96 12/12 9792 70312 14688 10 96 6/12 5198 75510 9490 If Machine 2 was purchased on October 1 instead of July 1, what would be the depreciation expense for this machine in 2019? In 2020? 1 Depreciation expense in 2019 $ Depreciation expense in 2020 $