Company purchased a new machine on October 1, 2010, at a cost of
$120,000.The company estimated that the machine will have a salvage
value of $12,000. The machine is expected to be used for 10,000 working
hours during its 5-year life.
Compute the depreciation expense under the following methods for the year indicated.
Straight-line for 2010.
Units-of-activity for 2010, assuming machine usage was 1,700 hours$
Declining-balance using double the straight-line rate for 2010 and 2011.