[mzangka]

On July 1, Harding Construction purchase a bulldozer for $330.000. The equipment has a 9 year life with a residual value of $15,000. Harding uses straight-line depreciation.(a) calculate the depreciation expense and provide the journal entry for the first year ending Dec 31. (b) calculate the third year's depreciation expense and provide the journal entry for the third year ending December 31st. (c) calculate the last year's depreciation expense and provide the journal entry for the last year.

[pready]

Straight line depreciation is simple to figure out.
First start with the purchase price minus the salvage value equals your depreciable base.
Now take your depreciable base divided by the number of years useful life equals your depreciation amount per year.

For the first year you are dealing with a partial year, so you need to figure out how many months you had the equipment. So Jul 1 to Dec 31 equals 6 months. Now you can compute depreciation for 6 months. Simply take your depreciation per year times 6/12(number of months used/number of months in a year) equals your depreciation amount for 6 months.

Your accounts are Depreciation Expense and Accumulated Depreciation.

You already should have the third year depreciation amount. It is your depreciation amount per year.

The last year depreciation amount you need to know the amount of depreciation per year, which was for 6 months. Since there is 12 months in a year and in the first year you had 6 months means you still have 6 months of depreciation in your last year. So your depreciation amount will be the same as your first year because boths years are for 6 months of depreciation.