Jon Blue Spruce Furnace Corp. purchased machinery for $462,000 on May 1, 2020. It is estimated that it will have a useful life of 10 years, residual value of $12,000, production of 300,000 units, and working hours of 37,500. During 2021, Blue Spruce Corp. uses the machinery for 2,850 hours, and the machinery produces 23,000 units. From the information given, calculate the following.

1. Calculate the depreciation charge for 2021 under straight-line method.

Depreciation charge

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2. Calculate the depreciation charge for 2021 under units of production method. (Round per unit calculation to 2 decimal places, e.g. 15.75 and final answer to 0 decimal places, e.g. 5,275.)

Depreciation charge

3. Calculate the depreciation charge for 2021 under working hours method.

Depreciation charge

4. Calculate the depreciation charge for 2021 under sum-of-the-years-digits method. (Round answer to 0 decimal places, e.g. 5,275.)

Depreciation charge

5. Calculate the depreciation charge for 2021 under declining-balance method (use 20% as the annual rate).

		Depreciation Charge
2021