Exercise 8-8
(a) Straight-Line
Annual Depr Cost-Salvage value divided by years useful life
4 0
Year Computation Depr Exp Accum Depr Net Book Value
0 6400
1 0 6400
2 0 6400
3 0 6400
4 0 6400
(b) Units of Production
Annual Depr Cost-Salvage Value divided by estimated units that will be produced life
0
Then, multiply result times actual units produced during the year
Year Computation Depr Exp Accum Depr Net Book Value
0 6400
1 0 0 6400
2 0 0 6400
3 0 0 6400
4 0 0 6400
c. Double-Declining Balance Method
Annual Depr Book Value * 2 times SL rate
Year 1 = 3200 (.5 * 6400)
Year 2 = 1600 (.5 * 3200
Year 3 =  800 (.5 * 1600)
Year 4 = 400 (.5 * 800 = 400, but do not exceed salvage value
Year Computation Depr Exp Accum Depr Net Book Value
0 6400
1 0 6400
2 0 6400
3 0 6400
4 0 6400