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Jon Seceda Furnace Corp. purchased machinery for $315000 on May 1, 2014. It is estimated that it will have a useful life of 10 years,
Jon Seceda Furnace Corp. purchased machinery for $315000 on May 1, 2014. It is estimated that it will have a useful life of 10 years, salvage value of $15000, production of 240000 units, and working hours of 25000. During 2015 , Seceda Corp. uses the machinery for 2650 hours, and the machinery produces 25500 units. Instruction: from the information given, compute the depreciation charge for 2015 under each of the following methods. ( round to the nearest dollar) A) straight- line B) units- of- output C) working hours D) sum- of- the - years'- digits E) declining- balance ( use 20% as the annual rate)
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