Exercise 11-6 Oriole Company purchased equipment for $251,090 on October 1, 2017. It is estimated that...

Exercise 11-6

Oriole Company purchased equipment for $251,090 on October 1, 2017. It is estimated that the equipment will have a useful life of 8 years and a salvage value of $14,280. Estimated production is 39,800 units and estimated working hours are 20,300. During 2017, Oriole uses the equipment for 530 hours and the equipment produces 1,000 units.

Compute depreciation expense under each of the following methods. Oriole is on a calendar-year basis ending December 31. (Round rate per hour and rate per unit to 2 decimal places, e.g. 5.35 and final answers to 0 decimal places, e.g. 45,892.)

(a) Straight-Line method for 2017	$
(b) Acitvity method (units of output) for 2017	$
(c) Activity method (working hours) for 2017	$
(d) Sum-of-the-years'-digits method for 2019	$
(e) Double-decling-balance method for 2018	$

Expert Solution

ekkarill92 answered 1 year ago

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