Reference no: EM132682279
Problem - Depreciation by Three Methods; partial years
Helix Company purchased tool sharpening equipment on April 1, 2010, for $72,000. The equipment was expected to have a useful life of three years, or 9,000 operating hours, and a residual value of $2,700. The equipment was used for 2,400 hours during 2010, 4,000 hours in 2011, 2,000 hours in 2012, and 600 hours in 2013.
Instructions - Determine the amount of depreciation expense for the years ended December 31, 2010, 2011, 2012, and 2013, by
(a) the straight-line method
(b) the units-of-production method
(c) the double-declining-balance method
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