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Exercise 11-2 (Algo) Depreciation methods [LO11-2]

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On January 1, 2024, the Allegheny Corporation purchased equipment for $200,000. The estimated service life of the equipment is 10 years and the estimated residual value is $13,000. The equipment is expected to produce 300,000 units during its life.

Required:

Calculate depreciation for 2024 and 2025 using each of the following methods.

Exercise 11-2 (Algo) Part 2

2. Double-declining-balance.