Partial-year depreciationEquipment acquired at a cost of $86,000 has an estimated residual value of $5,000 and an estimated useful life of 10 years. It wasplaced in service on April 1 of the current fiscal year, which ends on December 31. When required, round your answers to twodecimal places.a. Determine the depreciation for the current fiscal year and for the following fiscal year by the straight-line method.Year 1 SYear 2DepreciationYear 2b. Determine the depreciation for the current fiscal year and for the following fiscal year by the double-declining-balance method.Year 1 $6,075DepreciationSX12,900 ✓X

a) Depreciation under Straight Line MethodYear 1$6,075Year 2$8,100b) Depreciation under Double…

Answered: Partial-year depreciation Equipment…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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