Required information Exercise 11-3 (Algo) Depreciation methods partial periods (LO 11-2] [The following information applies to the questions displayed below.] On October 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $5,000. The equipment is expected to produce 260.000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. Partial-year depreciation is calculated based on the number of months the asset is in service

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Required information Exercise 11-3 (Algo) Depreciation methods partial periods (LO 11-2] [The following information applies to the questions displayed below.] On October 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $5,000. The equipment is expected to produce 260.000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. Partial-year depreciation is calculated based on the number of months the asset is in service
Required information
Exercise 11-3 (Algo) Depreciation methods partial periods [LO11-2]
[The following information applies to the questions displayed below.]
On October 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the
equipment is 10 years and the estimated residual value is $5,000. The equipment is expected to produce 260,000 units
during its life.
Required:
Calculate depreciation for 2021 and 2022 using each of the following methods. Partial-year depreciation is calculated
based on the number of months the asset is in service.
Exercise 11-3 (Algo) Part 1
1. Straight-line.
Formula
Amounts
Year
2021
2022
Choose Numerator:
Beginning Book Value
Annual Depreciation
Straight-Line Depreciation
1
XI
1
X
X
Answer is not complete.
X
Choose Denominator:
Double the straight-line rate
Fraction of Year
X =
=
1/12 X =
Annual Depreciation
Annual Depreciation
Depreciation expense
Transcribed Image Text:Required information Exercise 11-3 (Algo) Depreciation methods partial periods [LO11-2] [The following information applies to the questions displayed below.] On October 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $5,000. The equipment is expected to produce 260,000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. Partial-year depreciation is calculated based on the number of months the asset is in service. Exercise 11-3 (Algo) Part 1 1. Straight-line. Formula Amounts Year 2021 2022 Choose Numerator: Beginning Book Value Annual Depreciation Straight-Line Depreciation 1 XI 1 X X Answer is not complete. X Choose Denominator: Double the straight-line rate Fraction of Year X = = 1/12 X = Annual Depreciation Annual Depreciation Depreciation expense
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