Chapter 6, Problem 53EB

Calculate depreciation under alternative methods. (LO 2). Books Unlimited Corporation purchased a new copy machine at the beginning of the year at a cost of $36,500. The estimated useful life of the machine is five years, and its estimated productivity is 250,000 copies. Its salvage value is estimated to be $1,500. Yearly production for Year 1 was 50,000 copies; Year 2 was 45,000 copies; Year 3 was 55,000 copies; Year 4 was 40,500 copies; and Year 5 was 59,500 copies. Complete a separate depreciation schedule for each of the three methods given for all five years. (Round your answers to the nearest dollar.)

1. 1. Straight-line method
2. 2. Activity method
3. 3. Double-declining balance method