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Compute the book value and the balance

The Remove-U-Tattoo Clinic purchased a surgical laser for $84,000 on January 1, 2014. ; The estimated salvage value is $4,000. ; The laser has a useful life of five years and the clinic expects to use it 10,000 hours. ;

It was used for 900 hours in 2014; 2,100 hours in 2015; 2,400 hours in 2016. ;

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Instructions ;

Showing all of your computations, compute the book value and the balance in the Accumulated Depreciation Account for December 31, 2015 under each of the following three methods after the depreciation for 2015 has been recorded: ; ;

(1) ; Straight-line: ;

2015 accumulated depreciation ____________________ ;

; ; ;2015 book value ____________________ ;

(2) ; Units-of-activity: ;

; ; ;2015 accumulated depreciation ____________________ ; ;

; 2015 book value ____________________ ;

(3) ; Double-declining balance: ;

2015 accumulated depreciation ____________________

2015 book value ____________________

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“FIRST15”

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