Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Assume Organic Ice Cream Company, Inc., bought a new ice cream production kit (pasteurizer/homogenizer, cooler, aging vat, freezer, and filling machine) at the beginning of

image text in transcribedimage text in transcribedimage text in transcribed

Assume Organic Ice Cream Company, Inc., bought a new ice cream production kit (pasteurizer/homogenizer, cooler, aging vat, freezer, and filling machine) at the beginning of the year at a cost of $18,000. The estimated useful life was four years, and the residual value was $1,840. Assume that the estimated productive life of the machine was 10,100 hours. Actual annual usage was 4,040 hours in Year 1; 3,030 hours in Year 2; 2,020 hours in Year 3; and 1,010 hours in Year 4. Required: 1. Complete a separate depreciation schedule for each of the alternative methods. a. Straight-line. b. Units-of-production. c. Double-declining-balance. Complete this question by entering your answers in the tabs below. Req 1a Req 1B Req 1C Complete a depreciation schedule using the units-of-production method. (Use two decir factor. Do not round intermediate calculations.) Year Depreciation Expense Accumulated Depreciation Net Book Value $ 18,000 At acquisition 1 2 3 4 Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 1C Complete a depreciation schedule using the double-declining-balance method. (Do not roi Year Depreciation Expense Accumulated Depreciation Net Book Value $ 18,000 At acquisition 1 9,000 $ 9,000 $ 9,000 A A 2 4,500 3 $ 2,250 4

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

Operational Guidelines For Postmortem Examinations And Auditing

Authors: O.P. Murty, O.P Murty

1st Edition

8123924437, 978-8123924434

More Books

Students also viewed these Accounting questions

Question

Comment should this MNE have a global LGBT policy? Why/ why not?

Answered: 1 week ago