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A company with a fiscal year end at December 31, purchased a machine, with a cost...

A company with a fiscal year end at December 31, purchased a machine, with a cost $1,900,000 on April 1, 2017 using cash reserves in the corporate checking account. Management estimated the residual value will be $390,000 and that the estimated expected useful life is ten years.

Calculate the depreciation expense (to the nearest dollar) for 2017 and 2018 by each of the following methods, showing your work in detail.

A. Straight-line

B. Double-declining balance

C. Sum-of-the-years'-digits

Using the attached T-account templates, recognize the April 1, 2017 acquisition and the depreciation for 2017 and 2018 for each of the methods.

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