Tyson Foods acquired machinery for $425,000 on August 1, 2010. The machinery's estimated useful life is 8
Question:
Tyson Foods acquired machinery for $425,000 on August 1, 2010. The machinery's estimated useful life is 8 years, and the estimated residual value is $28,000. Tyson Foods projects that the machine will produce 290,000 units of product over the useful life of the machine.
a) What is the straight-line depreciation for 2010?
b) What is the straight-line depreciation for 2011?
c) What is the sum of the years for 2010?
d) The machine produced 19,000 units in 2010. What is the activity-based depreciation for 2010?
e) What is the quadruple declining balance for 2010?
f) What is the quadruple declining balance for 2011?
g) If the straight-line depreciation method was used, what would be the book value of the asset on 12/31/2010?
Financial Reporting and Analysis
ISBN: 978-1259722653
7th edition
Authors: Lawrence Revsine, Daniel Collins, Bruce Johnson, Fred Mittelstaedt, Leonard Soffer