Question
Nicoles Getaway Spa (NGS) purchased a hydrotherapy tub system to add to the wellness programs at NGS. The machine was purchased at the beginning of
Nicoles Getaway Spa (NGS) purchased a hydrotherapy tub system to add to the wellness programs at NGS. The machine was purchased at the beginning of 2014 at a cost of $15,500. The estimated useful life was five years, and the residual value was $1,500. Assume that the estimated productive life of the machine is 10,000 hours. Expected annual production was: year 1, 2,350 hours; year 2, 2,500 hours; year 3, 2,050 hours; year 4, 2,100 hours and year 5, 1,000 hours. |
Required: |
1. | Complete a depreciation schedule for each of the alternative methods. (Do not round intermediate calculations. Round your final answers to the nearest dollar.) |
a. | Straight-line. |
year, depreciation expense, accumulated depreciation, book value |
at aquisition
2014
2015
2016
2017
2018
b) Units-of-production.
at aquisition 2014 2015 2016 2017 2018
| ||
C) | Double-declining balance. | |
at aquisition 2014 2015 2016 2017 2018 | ||
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