On May 1, 2012 Alton Corp purchased mining equipment by issuing an 8 year note with 8% interest and annual…
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On May 1, 2012 Alton Corp purchased mining equipment by issuing an 8 year note with 8% interest and annual payments of $4,600. The first of the 8 pmts was made up front. The mining equipment will be worth $4,200 at the end of the 8 years and sold for that amount. Please calculate depreciation for 2012 and 2013 using straight-line, double-declining balance and sum of the years’ digits methods
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