Using the double-declining balance method, calculate the annual depreciation expense that will be recorded each year for an asset that cost$18,400,

has a useful life of four years, and has an estimated salvage value of $3,300. Explain what accounting issue arises, if any, in the third and fourth years.

Determine the depreciable cost.

	Cost	-.	Salvage value	=	Depreciable cost
	18400	-	3300	=

Complete the depreciation schedule using the double-declining balance method. (Complete all input boxes.)

		Book	Annual	Accumulated
Year	Rate	value	depreciation	depreciation
1

2

3

4

Explain what accounting issue arises, if any, in the third and fourth years.

Total depreciation charged over the life of the asset In this case, the third year's depreciation , and no depreciation is charged the remaining depreciation is charged the same amount of depreciation is charged in the fourth year.