Answer:
Depreciation Expense for the 2nd Year= $11,000`
Explanation:
Depreciation Expense = (Cost- Salvage Value)* Actual Activity Performed
During the 2nd year
<u> </u>
Total Estimated Lifetime Activity Of the Asset
Depreciation Expense= ($ 175,000- $ 25,000) * 22,000/ 300,000
Depreciation Expense= ($ 150,000) * 22,000/ 300,000
Depreciation Expense= ( 3300,000,000/ 300,000
Depreciation Expense= $11,000
Depreciation Expense = (Cost- Salvage Value)* Actual Activity Performed
During the 1st year
<u> </u>
Total Estimated Lifetime Activity Of the Asset
Depreciation Expense= ($ 175,000- $ 25,000) * 15,000/ 300,000
Depreciation Expense= ($ 150,000) * 15,000/ 300,000
Depreciation Expense= ( 2250,000,000/ 300,000
Depreciation Expense= $7500
