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Super Saver Groceries purchased store equipment for $33,000. Super Saver estimates that at the end of its 8-year service life, the equipment will be worth
Super Saver Groceries purchased store equipment for $33,000. Super Saver estimates that at the end of its 8-year service life, the equipment will be worth $3,000. During the 8-year period, the company expects to use the equipment for a total of 10,000 hours. Super Saver used the equipment for 1,500 hours the first year. |
Required: |
Calculate depreciation expense of the equipment for the first year, using each of the following methods.(Do not round yourintermediate calculations.) |
1. | Straight-line. |
2. | Double-declining-balance. |
3. | Activity-based. |
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