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On April 22, 2023, Crane Enterprises purchased equipment for $130,700. The company expects to use the equipment for 11,000 working hours during its four-year life
On April 22, 2023, Crane Enterprises purchased equipment for $130,700. The company expects to use the equipment for 11,000 working hours during its four-year life and that it will have a residual value of $13,000. Crane has a December 31 year end and pro-rates depreciation to the nearest month. The actual machine usage was: 1,600 hours in 2023; 2,500 hours in 2024; 3,700 hours in 2025; 2,500 hours in 2026; and 900 hours in 2027. (a1) Prepare a depreciation schedule for the life of the asset under the straight-line method. (Round partial-period depreciation rate to 4 decimal palces, e.g. 15.2563% and other answers to 0 decimal places, e.g. 5,276.)
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