Question
On April 22, 2020, Blossom Enterprises purchased equipment for $130,100. The company expects to use the equipment for 11,000 working hours during its 4-year life
On April 22, 2020, Blossom Enterprises purchased equipment for $130,100. The company expects to use the equipment for 11,000 working hours during its 4-year life and that it will have a residual value of $8,000. Blossom has a December 31 year end and pro-rates depreciation to the nearest month. The actual machine usage was: 1,200 hours in 2020; 2,600 hours in 2021; 4,000 hours in 2022; 2,500 hours in 2023; and 900 hours in 2024.
Calculate depreciation expense for the life of the asset under double diminishing-balance method. (Round answers to 0 decimal places, e.g. 5,276.)
Depreciation Expense | ||
2020 | $ | |
2021 | $ | |
2022 | $ | |
2023 | $ |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started