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Scott Company purchased equipment for $250,000 on October 1, 2014. It is estimated that the equipment will have a useful life of 8 years and
- Scott Company purchased equipment for $250,000 on October 1, 2014. It is estimated that the equipment will have a useful life of 8 years and a salvage value of $50,000. Estimated production is 20,000 units and estimated working hours is 10,000. During 2014, Scott used the equipment for 900 hours and the equipment produced 1,500 units. Compute the depreciation expense using Sum-of-the-years'-digits method for 2016.
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