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To demonstrate the computations involved in several methods of depreciating a fixed asset, the following data are used for equipment purchased on January 1 of

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To demonstrate the computations involved in several methods of depreciating a fixed asset, the following data are
used for equipment purchased on January 1 of the current year.
Required
Compute annual depreciation using each of the following methods.
a. Straight-line depreciation: Compute the depreciation rate and amount for each year.
Note: Enter the rate in decimal form (such as 0.10) and not as a percentage.
b. Units-of-production method using service hours as a measure of input: Compute the depreciation rate and amount
of depreciation expense for the first year assuming 3,960 service hours of actual operation.
d. Sum-of-the-years'-digits method: Compute the depreciation amount for each year.
e. Double-declining-balance method: Compute the depreciation amount for each year.
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