Question
On January 2, 2015, Roth, Inc. purchased a laser cutting machine to be used in the fabrication of a part for one of its key
On January 2, 2015, Roth, Inc. purchased a laser cutting machine to be used in the fabrication of a part for one of its key products. The machine cost $130,000, and its estimated useful life was four years or 1,250,000 cuttings, after which it could be sold for $5,000. Required a. Calculate each years(2015-2019) depreciation expense for the machine's useful life under each of the following depreciation methods (round all answers to the nearest dollar): 1. Straight-line. 2. Double-declining balance. 3. Units-of-production. (Assume annual production in cuttings of 310,000; 460,000; 380,000; and 100,000.)
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