What is the amount of depreciation for the first full year

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Q1. Fanestilli Corporation purchased a depreciable asset for $630,000 on Jan. 1, 2010. The estimated salvage value is $63,000, and the estimated total useful life is 9 years. The straight-line method is used for depreciation. In 2013, Fanestill changed its estimates to a useful life of 5 years with a salvage value of $105,000. What is 2013 depreciation expense?

Q2. Equipment with a cost of $450,000 has an estimated salvage of $30,000 and an estimated life of 4 years or $10,000 hours. It is to be depreciated by the units of activity method. What is the amount of depreciation for the first full year, during which the equipment was 2,700 hours?

Reference no: EM132428849

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