Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

actually produces the following units: 122 200 in Year 1, 124,200 in Year 2. 121,100 in Year 3. 127,500 in Year 4. The total number

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
actually produces the following units: 122 200 in Year 1, 124,200 in Year 2. 121,100 in Year 3. 127,500 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate-this difference was not predicted. Note: 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. Units of Straight Line DDB Production Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Straight-line depreciation Straight Line Depreciation Year Depreciation Expense Year 1 Year 2 Year 3 Year 4 Total Units of Straight line DDB Production Compute depreciation for each year and total depreciation of all years combined) for the machine under the Units production Year per unit Year 1 Year 2 Year 3 Units of Production Units Depreciable Depreciation Depreciation Units Expense 122,200 124, 2001 121,100 127 500 Year 4 Total Straight Line Units of Production DDB Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Double- declining-balance End of Period DDB Depreciation for the Period Beginning of Period Book Depreciation Depreciation Rate Value Expense % Year Accumulated Depreciation Book Value Year 1 Year 2 Year 3 Year 4 % % % Total A machine costing $213.000 with a four-year life and an estimated $19,000 salvage value is installed in Luther Company's factory on January 1 The factory manager estimates the machine will produce 485,000 units of product during its life. It actually produces the following units: 122 200 in Year 1.124.200 in Year 2 121100 in Year 3, 127,500 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate this difference was not predicted. Note: 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. DDB Units of Stralolt Line Production 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 Year 1 Year 2 Year 3 Year 4 Total $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Horngrens Cost Accounting A Managerial Emphasis

Authors: Srikant M. Datar, Madhav V. Rajan

17th Edition

0135628474, 9780135628478

More Books

Students also viewed these Accounting questions