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please help! the depreciation of 2025 and the carrying amount are wrong. Sheridan Airways Ltd. purchased a used Cessna 280 Caravan for its flight operations
please help! the depreciation of 2025 and the carrying amount are wrong.
Sheridan Airways Ltd. purchased a used Cessna 280 Caravan for its flight operations in September 2024. Sheridan paid $2,208,800 for the plane. Based on past experience, management has determined that the plane will have a useful life of 17,600 flying hours, at which time it will have an estimated residual value of $924,000. During 2024, the plane was used for 1,360 flying hours, and in 2025 it was used for 4,770 flying hours. Sheridan has a December 31 year end and uses the units-of-production method of depreciation for its planes. Determine the depreciation expense on this plane for 2024 and 2025, along with its carrying amount at December 31, 2025. Carrying amount at December 31, 2025 $Step by Step Solution
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