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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 $2,000. Assume that the estimated productive life of the machine was 10,000 hours. Actual annual usage was 4,000 hours in Yea 1,3,000 hours in Year 2:2,000 hours in Year 3 and 1000 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 18 Reg 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 22 000 At acquisition
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