On January 1, 2018, the Allegheny Corporation purchased machinery for $146,000. The estimated service life of the machinery is 10 years and the estimated residual value is $3,000. The machine is expected to produce 220,000 units during its life. Required: Calculate depreciation for 2018 and 2019 using each of the following methods. 1. Straight line. 2. Sum-of-the-years'-digits. 3. Double-declining balance. 4. One hundred fifty percent declining balance. 5. Units of production (units produced in 2018, 38,000; units produced in 2019, 33,000).

Complete this question by entering your answers in the tabs below.

• Required 1
• Required 2
• Required 3
• Required 4
• Required 5

Calculate depreciation for 2018 and 2019 using straight line method.

Straight-Line Depreciation
	Choose Numerator:	/	Choose Denominator:	=	Annual Depreciation Expense
		/		=	Depreciation Expense
		/		=	0
	Depreciation Expense
2018
2019

Calculate depreciation for 2018 and 2019 using sum-of-the-years' digits.

Sum-of-the-years' digits depreciation
	Depreciable Base	x	Rate per Year	=	Depreciation Expense
2018		x		=
2019		x		=

Calculate depreciation for 2018 and 2019 using double-declining balance.

	Depreciation for the Period			End of Period
Annual Period	Beginning of Period Book Value	Depreciation Rate (%)	Depreciation Expense	Accumulated Depreciation	Book Value
2018					$0
2019				$0	$0

Calculate depreciation for 2018 and 2019 using one hundred fifty percent declining balance.

	Depreciation for the Period			End of Period
Annual Period	Beginning of Period Book Value	Depreciation Rate	Depreciation Expense	Accumulated Depreciation	Book Value
2018					$0
2019				$0	$0

Calculate depreciation for 2018 and 2019 using units of production (units produced in 2018, 38,000; units produced in 2019, 33,000). (Round "Depreciation per unit rate" answers to 2 decimal places.)

Select formula for Units of Production Depreciation:
Calculate 2018 depreciation expense:
Depreciation per unit rate
Units produced in 2018
Depreciation in 2018
Calculate 2019 depreciation expense:
Depreciation per unit rate
Units produced in 2019
Depreciation in 2019