On January 1, 20A, Stern Company (A Calendar Year Corporation)

Essay

On January 1, 20A, Stern Company (a calendar year corporation) purchased a heavy duty machine having an invoice price of $13,000 plus transportation and installation costs of $3,000. The machine is estimated to have a 4-year useful life and a $1,000 residual value. Assuming the company uses the declining-balance method depreciation and a 150% acceleration rate, complete the following schedule (round to the nearest dollar).