A company purchased equipment for $325,000 on January 2, 2013. The company expects the equipment to last for eight years or 60,000 hours of…

A company purchased equipment for $325,000 on January 2, 2013. The company expects the equipment to last for eight years or 60,000 hours of operation, with an estimated salvage value of $25,000. During 2013, the equipment was in operations for 8,000 hours, while in 2014 the equipment was in operation forces for 8,700 hours. Compute the depreciation expense relating to the equipment for 2013 and 2014 using the following depreciation methods: a. Straight-line b. Double-declining-balance c. Units-of-production







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