This problem continues the Davis Consulting situation from Problem. Assume Davis Consulting had purchased a computer, $ 1,800, and office furniture, $ 4,200, on December 3 and 4, 2014, respectively, and that they were expected to last five years. Assume that both assets have a residual value of $ 0.

Requirements

1. Calculate the amount of depreciation expense for each asset for the year ended December 31, 2014, assuming the computer is depreciated using the straight-line method and the office furniture is depreciated using the double-declining-balance method.

2. Record the entry for the one month’s depreciation.