On July 1, 2010, Dachshund Company purchased new equipment for $750,000. The equipment had an estimated $60,000 salvage value at the end of its estimated ten-year useful life or 1,000,000 units made.

Required:

Calculate the 2010 and 2011 depreciation expense under the following methods. a. Straight line method: 2010 and 2011 b. Double declining method: 2010 and 2011 c. Units of Production method (200,000 unit made in 2010 and 300,000 made in 2011): 2010 and 2011