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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
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 $22,000. The estimated useful life was four years, and the residual value was $1,400. Assume that the estimated productive life of the machine was 10,300 hours. Actual annual usage was 4,120 hours in Year 1; 3,090 hours in Year 2; 2,060 hours in Year 3, and 1,030 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. Reg 1A Reg 1B Req 1C Complete a depreciation schedule using the Straight-line method. (Do not round intermediate calculations.) Year Depreciation Expense Accumulated Depreciation Net Book Value $ 22,000 At acquisition w Req 1A Req 1B > Reg 1A Reg 1B Req 1C Complete a depreciation schedule using the units-of-production method. (Use two decimal places for the per unit output factor. Do not round intermediate calculations.) Year Depreciation Expense Accumulated Depreciation Net Book Value At acquisition
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