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Needing Help with Part C-Thanks in advance Blue Spruce Company purchased a new machine on October 1, 2022, at a cost of $130,000. The company
Needing Help with Part C-Thanks in advance
Blue Spruce Company purchased a new machine on October 1, 2022, at a cost of $130,000. The company estimated that the machine will have a salvage value of $10,000. The machine is expected to be used for 10,000 working hours during its 4 -year life. (a) Compute the depreciation expense under straight-line method for 2022. Compute the depreciation expense under declining-balance using double the straight-line rate for 2022 and 2023. Your answer is correct. Compute the depreciation expense under units-of-activity for 2022, assuming machine usage was 1.760 hours. (Round intermediate calculations to 1 decimal ploce, eg. 10.1 and final answer to O decimal places, es. 2, 125.) Step by Step Solution
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