Question - Lockhard Company purchased machinery on January 1, 2010, for $70,800. The machinery is estimated to have a salvage value of $7,080 after a useful life of 8 years.
(a) Compute 2010 depreciation expense using the straight-line method.
(b) Compute 2010 depreciation expense using the straight-line method assuming the machinery was purchased on September 1, 2010.