Question
Skysong Company purchased equipment for $222,800 on October 1, 2025. It is estimated that the equipment will have a useful life of 8 years and
Skysong Company purchased equipment for $222,800 on October 1, 2025. It is estimated that the equipment will have a useful life of 8 years and a salvage value of $14,000. Estimated production is 36,000 units and estimated working hours are 20,000. During 2025, Skysong uses the equipment for 550 hours and the equipment produces 1,100 units. Compute depreciation expense under each of the following methods. Skysong is on a calendar-year basis ending December 31. (Round rate per hour and rate per unit to 2 decimal places, e.g. 5.35 and final answers to 0 decimal places, e.g. 45,892.)
(e) | Double-declining-balance method for 2025? |
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