Partial-Year Depreciation Equipment acquired at a cost of $105,000 has an estimated residual value of $12,000 and an estimated useful life of 10 years. It was placed into service on May 1 of the current fiscal year, which ends on December 31. a. Determine the depreciation for the current fiscal year and for the following fiscal year by the straight-line method. Year 1 Year 2 Depreciation. 91,000 X b. Determine the depreciation for the current fiscal year and for the following fiscal year by the double-declining-balance method. Year 1 Year 2 Feedback Depreciation Check My Work 9,200 X Asset cost minus residual value equals depreciable cost. Book value is the asset cost minus accumulated depreciation. If an asset is used for only part of a year, the depreciation is prorated based on the number of months the asset is in service.