Question
A machine was purchased for $500,000 with a residual value of $50,000. The company estimates that the machine will last 5 yearsand produce 2,000,000 parts
A machine was purchased for $500,000 with a residual value of $50,000. The company estimates that the machine will last 5 yearsand produce 2,000,000 parts over its life.
Calculate depreciation expense using the Straight-Line method for the5-year life. (NOTE: Round your answers to the nearest dollar and enter it enter itWITHOUT decimals, commas or dollar signs [Example 75000].)
- Year 1 - __$
- Year 2 - __$
- Year 3 - __$
- Year 4 - __$
- Year 5 - __$
2.
A machine was purchased for $500,000 with a residual value of $50,000. The company estimates that the machine will last 5 yearsand produce 2,000,000 parts over its life.
Calculate depreciation expense using the Double Declining Balance method for its 5-year life. (NOTE: Round your answers to the nearest dollar and enter it enter it WITHOUT decimals, commas or dollar signs [Example 75000].)
- Year 1 - __$
- Year 2 - __$
- Year 3 - __$
- Year 4 - __$
- Year 5 - __$
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Accounting Tools for business decision making
Authors: kimmel, weygandt, kieso
4th Edition
978-0470117262, 9780470534786, 470117265, 470534788, 978-0470095461
