Question
1.On January 1, 2020, Bramble Corp. purchased a new machine for $4310000. The new machine has an estimated useful life of nine years and the
1.On January 1, 2020, Bramble Corp. purchased a new machine for $4310000. The new machine has an estimated useful life of nine years and the salvage value was estimated to be $143000. Depreciation was computed using the sum-of-the-years'-digits method. What amount should be shown in Bramble's balance sheet at December 31, 2021, net of accumulated depreciation, for this machine?
a.$3476600
b.$4167000
c.$2735800
d.$2643200
2. Sheffield Corp. purchased a depreciable asset for $702000 on April 1, 2018. The estimated salvage value is $72000, and the estimated useful life is 5 years. The straight-line method is used for depreciation. What is the balance in accumulated depreciation on May 1, 2021 when the asset is sold?
a | $294000 |
b | $252000 |
c | $346500 |
d | $388500 |
3. Sunland Company purchased a truck at the beginning of 2020 for $110200. The truck is estimated to have a salvage value of $3700 and a useful life of 124000 miles. It was driven 22000 miles in 2020 and 30000 miles in 2021. What is the depreciation expense for 2021? (Round intermediate calculations to 3 decimal places, e.g. 0.245.)
a | $27556 |
b | $7100 |
c | $25770 |
d | $44668 |
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