Determine the amount of depreciation expense for the years

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Reference no: EM132822442

Red Tiger Company purchased waterproofing equipment on January 3, 2005, for $180,000. The equipment was expected to have a useful life of three years, or 22,320 operating hours, and a residual value of $12,600. The equipment was used for 12,500 hours during 2005, 6,000 hours in 2006, and 3,820 hours in 2007.

Instructions

Problem 1: Determine the amount of depreciation expense for the years ended December 31, 2005, 2006, and 2007, by (a) the straight-line method, (b) the units-of-production method, and (c) the declining- balance method, using twice the straight-line

Reference no: EM132822442

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