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PE 10-2A Straight-line depreciation OBJ.2 Equipment acquired at the beginning of the year at a cost of $440,000 has an estima residual value of $25,000 and an estimated useful life of 8 years. Determine the depreciable cost, (b) the straight-line rate, and (c) the annual straight-line depreciation E20 x x A B C D E F G H I J K 1 Problem 10-2A For use with Name: Wade Bradford Accounting, 25e 3 Section: and 4 Financial Accounting, 13e 5 Score: 0% by 6 Warren/Reeve/Duchac 7 Key Code: Key code here) 8 Instructions 9 Answers are entered in the cells with gray backgrounds. 10 Cells with non-gray backgrounds are protected and cannot be edited. 11 An asterisk (*) will appear to the right of an incorrect entry. Depreciation Expense b. Straight Line Year Units of Production Double-Declining. Balance 2012 2013 2014 Totals Calculations: Strainht line method: Pr. 10-2A pboard Font Alignment BCDELFGHIJ K L Straight-line method: (Cost - Residual Value) Years Yearly Depreciation Units-of-production method: (Cost - Residual Value) Total Hours Rate Ratex Hours Yearly Depreciation 2012 2013 2014 Double-declining-balance method: Depreciable Balance Rate Yearly Depreciation 2012 2013 Since depreciation cannot cause book value to fall below residual value: Depreciable Residual Balance Value Yearly Depreciation 2014 Pr. 10-2A

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