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PLEASE SHOW STEP BY STEP THANK YOU F Corporation purchased equipment for $450,000. Residual value at the end of the estimated 6 years or 150,000
PLEASE SHOW STEP BY STEP THANK YOU
F Corporation purchased equipment for $450,000. Residual value at the end of the estimated 6 years or 150,000 hours service life is expected to be $60,000.
Using Straight-line depreciation, determine:
- Book value at the end of year 3 $_____
Using 180% declining balance depreciation, determine:
- Depreciation expense for year 2 $_____
- Depreciation expense for year 3 $_____
Year | Hours used |
1 | 25,000 |
2 | 24,900 |
3 | 25,100 |
4 | 25,400 |
5 | 25,100 |
6 | 24,500 |
Using Activity based depreciation, determine:
- Depreciation expense for year 3 $____
- Book value at the end of year 3 $____
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