On September 19, 2013, Samson Co. purchased machinery for $150,000. Residual value was estimated to be $6,000. The machinery will be amortized over eight years using the double-declining balance method. If amortization is computed on the basis of the nearest full month, calculate the amount that Samson should record for amortization expense for 2014 on this machinery. Samson Co. has a December 31 year-end and only accounts for amortization at year-end.

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The Answer of On September 19, 2013, Samson Co. purchased machinery for $150,000. Residual value was estimated to be $6,000. The machinery will be amortized over eight years using the double-declining balance method. If amortization is computed on the basis of the nearest full month, calculate the amount that Samson should record for amortization expense for 2014 on this machinery. Samson Co. has a December 31 year-end and only accounts for amortization at year-end.