Required information (The following information applies to the questions displayed below.) On October 1, 2021, the Allegheny Corporation purchased equipment for $191,000. The estimated service life of the equipment is 10 years and the estimated residual value is $4,000. The equipment is expected to produce 340,000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. Partial-year depreciation is calculated based on the number of months the asset is in service. 1. Straight line. Straight-Line Depreciation 1 Choose Denominator: Choose Numerator: Cost minus Salvage = Annual Depreciation = Annual Depreciation / Estimated Useful Life (years) Annual Depreciation x Fraction of Year Year 2021 / 2022 3/12 12/12 Depreciation expense = = | $ 18,700 $ 18,700 x