A machine was acquired on January 1, 2010, at a cost of $100,000. The machine was originally estimated to have a residual value of $10,000 and an…

A machine was acquired on January 1, 2010, at a cost of $100,000. The machine was originally estimated to have a residual value of $10,000 and an estimated life of nine years. The machine is expected to produce a total of 200,000 components during its lie, distributed as:

Year          Number of Components2010         15,0002011        25,000

2012         25,000

2013        25,000

2014 to 20116    25,000

2017     20,000

2018    15,000

Using the straight-line, unit of production, and double-diminishing balance methods, answer the following question

a. The 2011 amortization expense using the double-diminishing balance method

b. The 2013 amortization expense using the  double-diminishing balance method

c . Which method results in the highest depreciation expense in the first two years?

d. Which method results in the highest depreciation expense over all nine years?

e. What would the adjusting entry look like to record the 2012 depreciation expense for double-diminishing balance method? 

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