Question
Taco Hut purchased equipment on May 1, 2012, for $14,000. Residual value at the end of an estimated 8-year service life is expected to be
| Taco Hut purchased equipment on May 1, 2012, for $14,000. Residual value at the end of an estimated 8-year service life is expected to be $3,000. |
| Calculate depreciation expense using the straight-line method for 2012 and 2013, assuming a December 31 year-end. (Round your answers to the nearest dollar amount. Omit the "$" sign in your response.) |
| Year | Depreciation Expense |
| 2012 | $ |
| 2013 | $ |
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Commercial Printing IRS Audit Techniques Guide
Authors: Internal Revenue Service
1st Edition
1304133753, 978-1304133755
