Compute the machinery depreciation schedule

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Reference no: EM13199012

Consider a 6500 piece of machinery, with a 5 year depreciable life and an estimated 1200 salvage value. The projected utilization of the machinery when it was purchased, and its actual production to date as follows:

Year
1
2
3
4
5

Projected Production (tons)
3500
4000
4500
5000
5500

Actual Production (tons)
3000
5000
N/A
N/A
N/A

Compute the machinery depreciation schedule by each of the following methods:
A) Straight-Line
B) Sum-of-years'-digits
C)Double Declining Balance
D)Unit of production (for first 2 years only)
E) Modified accelerated cost recovery system

Reference no: EM13199012

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