Cheetah Copy purchased a new copy machine. The new machine cost$136,000 including installation. The company estimates theequipment will have a residual value of $34,000. Cheetah Copy alsoestimates it will use the machine for four years or about 8,000total hours. Actual use per year was as follows:
| Year | Hours Used |
| 1 | 2,900 |
| 2 | 1,900 |
| 3 | 1,900 |
| 4 | 3,500 |
|
2. Prepare a depreciation schedule for fouryears using the double-declining-balance method.
|
| | CHEETAH COPY | | DepreciationSchedule—Double-Declining-Balance | | End of Year Amounts | | Year | Depreciation Expense | Accumulated Depreciation | Book Value | | 1 | | | | | 2 | | | | | 3 | | | | | 4 | | | | | Total | $0 | |
|
