Thomas company purchased equipment for $760,000 cash on january 1,2014. The estimated life is 5 years or 1,000,000 units; salvage value is estimated at $60,000. Actual activity was 180,000 units in 2014, and 200,000 units in 2015.

Instructions: Compute the annual depreciation expense for 2014 and 2015, and book value at december 31, 2015, under the following depreciation methods: (a) units of activity, (b) straight line, and (c) double declining balance.

(a) Units of Activity

2014 depreciation = $

2015 depreciation = $

12/31/15 book value = $

(b) Straight line

2014 depreciation = $

2015 depreciation = $

12/31/15 book value = $

(c) Double declining balance

2014 depreciation = $

2015 depreciation = $

12/31/15 book value = $