Waylander Coatings Company purchased waterproofing equipment on January 6 for $844,000. The equipment was expected to have a useful life of four years, or 8,800 operating hours, and a residual value of $69,600. The equipment was used for 3,300 hours during Year 1, 2,700 hours in Year 2, 1,600 hours in Year 3, and 1,200 hours in Year 4. Required: 1. Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2, Year 3, and Year 4, by (a) the straight-line method, (b) the units-of- activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the four years by each method. Note: Round the answer for each year to the nearest whole dollar.

Waylander Coatings Company purchased waterproofing equipment on January 6 for $844,000. The equipment was expected to have a useful life of four years, or 8,800 operating hours, and a residual value of $69,600. The equipment was used for 3,300 hours during Year 1, 2,700 hours in Year 2, 1,600 hours in Year 3, and 1,200 hours in Year 4. Required: 1. Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2, Year 3, and Year 4, by (a) the straight-line method, (b) the units-of- activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the four years by each method. Note: Round the answer for each year to the nearest whole dollar.

Name: Waylander Coatings Company purchased waterproofing equipment on Janua
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Description: Waylander Coatings Company purchased waterproofing equipment on January 6 for $844,000. The equipment was expected to have a useful life of four years, or 8,800operating hours, and a residual value of $69,600. The equipment was used for 3,300 hours

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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