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Required information Exercise 8-10A Double-declining-balance and units-of-production depreciation: gain or loss on disposal LO 8-3, 8-4 [The following information applies to the questions displayed below.)
Required information Exercise 8-10A Double-declining-balance and units-of-production depreciation: gain or loss on disposal LO 8-3, 8-4 [The following information applies to the questions displayed below.) Exact Photo Service purchased a new color printer at the beginning of Year 1 for $36,880. The printer is expected to have a four-year useful life and a $4,000 salvage value. The expected print production is estimated at $1,766,200 pages. Actual print production for the four years was as follows: Year 1 Year 2 Year 3 Year 4 Total 552,500 478,000 375,400 389,300 1,795,209 The printer was sold at the end of Year 4 for $4,450. Exercise 8-10A Part a Required a. Compute the depreciation expense for each of the four years, using double-declining-balance depreciation. (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Year 1 Year 2 Year 3 Year 4 Total accumulated depreciation Depreciation Expense 10,498 9,082 7,133 6,167 Exercise 8-10A Part c. Calculate the amount of gain or loss from the sale of the asset under each of the depreciation methods. DDB DDB Units-of- Production Loss $ 990 $ 990
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