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Depreciation by Three Methods; Partial Years Perdue Company purchased equipment on April 1 for $75,870. The equipment...

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Accounting

Depreciation by Three Methods; Partial Years

Perdue Company purchased equipment on April 1 for $75,870. Theequipment was expected to have a useful life of three years, or7,020 operating hours, and a residual value of $2,160. Theequipment was used for 1,300 hours during Year 1, 2,500 hours inYear 2, 2,100 hours in Year 3, and 1,120 hours in Year 4.

Required:

Determine the amount of depreciation expense for the years endedDecember 31, Year 1, Year 2, Year 3, and Year 4, by (a) thestraight-line method, (b) units-of-activity method, and (c) thedouble-declining-balance method.

Note: FOR DECLINING BALANCE ONLY, round the multiplier to fourdecimal places. Then round the answer for each year to the nearestwhole dollar.

a. Straight-line method

YearAmount
Year 1$
Year 2$
Year 3$
Year 4$

b. Units-of-activity method

YearAmount
Year 1$
Year 2$
Year 3$
Year 4$

c. Double-declining-balance method

YearAmount
Year 1$
Year 2$
Year 3$
Year 4$

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