Question
Waylander Coatings Company purchased waterproofing equipment on January 6 for $851,600. The equipment was expected to have a useful life of 4 years, or 8,400
Waylander Coatings Company purchased waterproofing equipment on January 6 for $851,600. The equipment was expected to have a useful life of 4 years, or 8,400 operating hours, and a residual value of $70,400. The equipment was used for 3,200 hours during Year 1, 2,600 hours in Year 2, 1,500 hours in Year 3, and 1,100 hours in Year 4. Required: 1. Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2, Year 3, and Year 4, by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the 4 years by each method. Note: FOR DECLINING BALANCE ONLY, round the multiplier to four decimal places. Then, round the answer for each year to the nearest whole dollar. Depreciation Expense Year Straight-Line Method Units-of-Activity Method Double-Declining- Balance Method Year 1 $fill in the blank 1 $fill in the blank 2 $fill in the blank 3 Year 2 fill in the blank 4 fill in the blank 5 fill in the blank 6 Year 3 fill in the blank 7 fill in the blank 8 fill in the blank 9 Year 4 fill in the blank 10 fill in the blank 11 fill in the blank 12 Total $fill in the blank 13 $fill in the blank 14 $fill in the blank 15
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