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The Mayo Clinic purchased a new surgical laser for $268,800. The estimated salvage value is $12,800. The laser has a useful life of five years
The Mayo Clinic purchased a new surgical laser for $268,800. The estimated salvage value is $12,800. The laser has a useful life of five years and the clinic expects to use it for 20,000 hours. It was used 5,120 hours in year 1; 6,720 hours in year 2; 7,680 hours in year 3; 6,080 hours in year 4; 6,400 hours in year 5.
(a)
Compute the annual depreciation for each of the five years under each of the following methods:
(1) | straight-line. | |
(2) | units-of-activity. |
(Round answers to 0 decimal place, e.g. 1500.) Straight-line Units of Activity Year 1 $ $ Year 2 Year 3 Year 4 Year 5 Total $ e Textbook and Media Save for Later (b) The parts of this question must be completed in order. This part will be available when you complete the part above. The parts of this question must be completed in order. This part will be available when you complete the part above
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