related cost

Abu Dhabi Corporation purchased 3 heavy equipment to enlarge its fixed asset capacity. As the Corporation is not subject to Business Profit Tax (BPT), it can select any depreciation method. Information concerning the equipment is summarized as below: No. Method Acquired Date PP RC RV Useful Life 1. SLM 1/1/2020 1,000,000 150,000 200,000 5 2. DDBM 1/4/2020 800,000 0 100,000 4 3. Unit of Act. 1/3/2020 280,000 20,000 0 4 For the Unit-of-Activity Method, the total capacity of the equipment No. 3 is expected to be 280,000 hours. Actual hours of use in the first two years are expected to be 80,000 and 90,000. The remaining capacity will be distributed and used equally. Required: 1. Compute the amount of depreciation on each equipment throughout the economic life as per the selected depreciation method for the first three years. Produce the depreciation schedule as evidence for your calculation