I hope someone can help me. I have tried to do this problem but I am not being very successful. Here it is... Based on the following information prepare a table that shows the depreciation expense for each year using the double declining method:computer equipment cost $36,000 Estimatied residual value $ 6,000Estimated useful life 5 years_____________________________________________ _____________________________Now this is what I did but I am not coming out to $6,000 for the last year... what am I doing wrong??
100%/5=20% (per year)20% x 2 = 40% (per year)$36,000 x 40% = 14,400 (for the first year) Book Value Calculation Depreciation Calculation Accumulated Book Book DepreciationYear Cost Depreciation Value Value Rate Expense 2003 $36,000 - $ 0 = $36,000 $36,000 x 40% = $14,4002004 $36,000 - $14,400 = $21,600 $21,600 x 40% = $ 8,640 2005 $36,000 - $23,040 = $12,960 $12,960 x 40% = $ 5,184 2006 $36,000 - $28,224 = $ 7,776 $ 7,776 x 40% = $ 3,110 2007 $36,000 - $31,334 = $ 4,666 2008 $36,000 - $
