Reference no: EM131050609
Pebble Company acquired equipment on June 1, 2015, for $236,000. It is a calendar year-end company. The equipment has an estimated useful life of five years and an estimated residual value of $6,000. Calculate depreciation expense and complete the schedule presented below. The equipment is estimated to produce 125,000 units during its useful life.
During the fiscal years 2015, 2016, 2017, 2018, 2019, 2020, and 2021, the equipment produced 18,000, 35,000, 30,000, 20,000, 10,000, 8,000, and 4,000 units respectively. Round to the nearest whole dollar where necessary. Be sure to include all calculations on a separate schedule. Depreciation Calculations Depreciation Method Category 2015 2016 2017 2018 2019 2020 Straight line Depreciation expense Accumulated depreciation Book value Double declining balance Depreciation expense Accumulated depreciation Book value Units of production Depreciation expense Accumulated depreciation Book value
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: Pebble Company acquired equipment on June 1, 2015, for $236,000. It is a calendar year-end company. The equipment has an estimated useful life of five years and an estimated residual value of $6,000.
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