Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Blossom Ltd. purchased a new machine on April 4, 2014, at a cost of $196,000. The company estimated that the machine would have a residual

image text in transcribedimage text in transcribed

Blossom Ltd. purchased a new machine on April 4, 2014, at a cost of $196,000. The company estimated that the machine would have a residual value of $18,000. The machine is expected to be used for 10,000 working hours during its four-year life. Actual machine usage was 1,800 hours in 2014; 2,000 hours in 2015; 2,200 hours in 2016; 2,100 hours in 2017; and 1,900 hours in 2018. Blossom has a December 31 year end. Your answer is partially correct. Calculate depreciation for the machine under each of the following methods: (Round expense per unit to 2 decimal places, eg. 2.75 and final answers to 0 decimal places, e.g. 5,275.) (1) Straight-line for 2014 through to 2018. 2014 expense $ 2015 expense $ 44,500 2016 expense $ 2017 expense $ 2018 expense $ (2) Diminishing-balance using double the straight-line rate for 2014 through to 2018. 2014 expense 2015 expense 2016 expense 2017 expense 2018 expense $ (3) Units-of-production for 2014 through to 2018. 2014 expense $ A 2015 expense A 2016 expense 2017 expense $ 2018 expense $

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_2

Step: 3

blur-text-image_3

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

Accounting Ethics

Authors: Ronald F. Duska, Brenda Shay Duska, Kenneth Wm. Kury

3rd Edition

1119118786, 9781119118787

More Books

Students also viewed these Accounting questions

Question

Is there any dispute that this is the cause?

Answered: 1 week ago