Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A machine costing $209,000 with a four-year life and an estimated $15,000 salvage values installed in Luther Company's factory on Januaryt. The factory manager estimates
A machine costing $209,000 with a four-year life and an estimated $15,000 salvage values installed in Luther Company's factory on Januaryt. The factory manager estimates the machine w produce 485,000 units of product during its life. It actually produces the following units: 12.700 In Year 1,123,400 in Year 2, 120.500 In Year 3, 129.400 In Year. The total number of units produced by the end of Year 4 exceeds the original estimateth's dierence was not predicted. (The machine cannot be depreciated below its estimated salvage value.) Required: Compute depreciation for each year and total depreciation of all years combined for the machine under each depreciation method. (Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.) Complete this question by entering your answers in the tabs below. Straight Units of DDB Line Producti... Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Straight-line depreciation. Straight-Line Depreciation Depreciation Year Expense Total Straight Line Units of Production > A machine costing $209.000 with a four-year life and an estimated $15,000 salvage values installed in Luther Company's factory on January 1 The factory manager estimates the machinew produce 485.000 units of product during its et actually produces the following units: 121700 in Year 1 123.400 In Year 2, 120.500 In Year 3, 129.400 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate this diference was not predicted. (The machine cannot be depreciated below its estimated salvage value.) Required: Compute depreciation for each year and total depreciation of all years combined for the machine under each depreciation method (Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.) Complete this question by entering your answers in the tabs below. Straight Units of DDB Line Producti... Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Units of production. Units of Production Year Linie DepreciableDepreciatidDepreciation Units per unit Expense 121,7001 2 123.400 3 120,500 4 129.400 Total
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started