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At the beginning of 2017, your company buys a $32,000 piece of equipment that it expects to use for 4 years. The equipment has an
At the beginning of 2017, your company buys a $32,000 piece of equipment that it expects to use for 4 years. The equipment has an estimated residual value of 4,000. The company expects to produce a total of 200,000 units. Actual production is as follows: 45,000 units in 2017, 51,000 units in 2018, 49,000 units in 2019, and 55,000 units in 2020. Skipped Required: a. Determine the depreciable cost. b. Calculate the depreciation expense per year under the straight-line method. c. Use the straight-line method to prepare a depreciation schedule. d. Calculate the depreciation rate per unit under the units-of-production method. e. Use the units-of-production method to prepare a depreciation schedule. Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required E Determine the depreciable cost. Depreciable Cost Required A Required B > Required A Required B Required Required D. Required E Calculate the depreciation expense per year under the straight-line method. Depreciation Expense Per Year Required A Required B Required C Required D Required E Use the straight-line method to prepare a depreciation schedule. Year Depreciation Expense Accumulated Depreciation Net Book Value Acquisition Cost 2017 2018 2019 2020 Required B Required D > Required A Required B Required C Required D Required E Calculate the depreciation rate per unit under the units-of-production method. (Round your answer to 2 Depreciation Rate Per Unit Required C Required E > Required A. Required B Required C Required D Required E Use the units-of-production method to prepare a depreciation schedule. (Do not round your Depreciation Depreciation Expense Accumulated Depreciation Net Book Value Year Acquisition Cost 2017 2018 2019 2020
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