Depreciation in Financial Statements
Dynasty Co

Essay

Depreciation in financial statements
Dynasty Co. uses straight-line depreciation in its financial statements, with depreciation for a partial year rounded to the nearest full month.
On September 28, 2006 Dynasty purchased equipment at a cost of $140,000. For financial reporting purposes, the useful life of this equipment was estimated at 5 years, with a $30,000 salvage value.
Compute the depreciation expense relating to this equipment that Dynasty will recognize in its financial statements in the following years. If no depreciation will be recognized in a particular year, write zero.
$\begin{array}{|l|l|}\hline \text { Year } & \text { Amount } \\\hline & \\\hline 2006 & \$ \_\_\_\\\hline 2007 & \$ \_\_\_\\\hline 2008 & \$ \_\_\_\\\hline 2009 & \$ \_\_\_\\\hline 2010 & \$ \_\_\_\\\hline 2011 & \$ \_\_\_\\\hline\end{array}$