On January 2,2019,Mumford Corporation acquired equipment for $90,000.The estimated life of the equipment is 4 years.The estimated residual value is $3,000.What is the amount of depreciation expense for 2020,if the company uses the double-declining-balance method of depreciation? (Round intermediary calculations to two decimal places and your final answer to the nearest dollar. )

Question

Quizplus · Accepted Answer

$90,000 × 50% = $45,000
($90,000 - $45,000)× 50% = $22,500

On January 2,2019,Mumford Corporation Acquired Equipment for $90,000