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rane Limited purchased equipment on February 1 , 2 0 2 4 , at a cost of $ 2 2 2 , 8 8 0
rane Limited purchased equipment on February at a cost of $ As the CFO of the company, you are considering the erits of using the diminishingbalance or unitsofproduction method of depreciation instead of the straightline method, which is urrently being used for other equipment. The new equipment has an estimated residual value of $ and an estimated useful life either five years or units. Demand for the products produced by the equipment is sporadic so the equipment will be used ore in some years than in others. Assume the equipment produces the following numbers of units each year: units in ; units in ; units in ; units in ; units in ; and units in Crane has a December year end.
Your answer is partially correct.
Prepare separate depreciation schedules for the life of the equipment using: Round depreciation per unit to decimal places, eg and final answers to decimal places, eg
Straightline method:
Doublediminishingbalance method:
Unitsofproduction method:
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