Metlock, Inc. purchased a new machine for $300,000. It is estimated that the machine will have a $30,000 salvage value at the end of its 5-year useful service life. The double-declining-balance method of depreciation will be used. Prepare a depreciation schedule that shows the annual depreciation expense on the machine for its 5-year life. Year 1 2 3 4 5 Book Value Beginning of Year LA $ Annual Depreciation Expense LA $ 8,880* End of Year Accumulated Depreciation LA $ Adjusted to $8,880 because ending book value should not be less than expected salvage value Book Value End of Year

Metlock, Inc. purchased a new machine for $300,000. It is estimated that the machine will have a $30,000 salvage value at the end of its 5-year useful service life. The double-declining-balance method of depreciation will be used. Prepare a depreciation schedule that shows the annual depreciation expense on the machine for its 5 -year life. Adjusted to $8,880 because ending book value should not be less than expected salvage value