Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Assume Plain Ice Cream Company, Incorporated, in Ithaca, NY, bought a new ice cream production kit (pasteurizer/homogenizer, cooler, aging vat, freezer, and filling machine)

image text in transcribed

Assume Plain Ice Cream Company, Incorporated, in Ithaca, NY, 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 $30,000. The estimated useful life was four years, and the residual value was $2,180. Assume that the estimated productive life of the machine was 10,700 hours. Actual annual usage was 4,280 hours in Year 1; 3,210 hours in Year 2; 2,140 hours in Year 3; and 1,070 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 straight-line method. Year At Net Book Depreciation Accumulated Expense Depreciation Value acquisition 1 2 3 4 < Req 1A Req 1B > 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. Net Book Depreciation Accumulated Year Expense Depreciation Value At acquisition 1 2 3 4 < Req 1B Req 1C > Req 1A Req 1B Req 1C Complete a depreciation schedule using the units-of-production method. Note: Use two decimal places for the per unit output factor. Do not round intermediate calculations. Year Depreciation Accumulated Expense Depreciation Value Net Book At acquisition 1 2 3 4 < Req 1A Req 1C > Show less

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

Hospitality Financial Accounting

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Agnes L.

2nd Edition

9780470598092, 470083603, 978-0470083604

More Books

Students also viewed these Accounting questions