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Calculate the amount of depreciation expense that Whispering Winds should record for Machine Beach year of its useful life under the following assumptions. (Round depreciation
Calculate the amount of depreciation expense that Whispering Winds should record for Machine Beach year of its useful life under the following assumptions. (Round depreciation cost per unit to 2 decimal places, eg. 12.25. Round final answers to decimal places, es. 2,125.) (1) (2) Whispering Winds uses the straight-line method of depreciation Whispering Winds uses the declining-balance method. The rate used is twice the straight-line rate. Whispering Winds uses the units-of-activity method and estimates that the useful life of the machine is 135,920 units. Actual usage is as follows: 2020, 52,000 units: 2021.39,000 units: 2022. 26,000 units: 2023, 18,920 units (3) Depreciation Expense 2020 2021 2022 202: Straight. line method $ $ $ Declining balance method $ $ $ (3) Whispering Winds uses the units-of-activity method and estimates that the useful life of the machine is 135,920 units. Actual usage is as follows: 2020, 52,000 units: 2021, 39,000 units; 2022, 26,000 units; 2023, 18,920 units. Depreciation Expense 2020 2021 2022 2023 $ I $ $ $ $ (3) Whispering Winds uses the units-of-activity method and estimates that the useful life of the machine is 135,920 units. Actual usage is as follows: 2020,52,000 units: 2021, 39,000 units; 2022, 26,000 units: 2023, 18,920 units. Depreciation Expense 2020 2021 2022 202: Straight- line method $ I $ Declining balance method $ $ $ $ Units-of- activity method $ $ $ $ $ Current Attempt in Progress On January 1, 2020, Whispering Winds Company purchased the following two machines for use in its production process. Machine A The cash price of this machine was $56,500. Related expenditures included: sales tax $2,550, shipping costs $100, insurance during shipping $50, installation and testing costs $90, and $200 of oil and lubricants to be used with the machinery during its first year of operations. Whispering Winds estimates that the useful life of the machine is 5 years with a $4,350 salvage value remaining at the end of that time period. Assume that the straight-line method of depreciation is used. The recorded cost of this machine was $180,000. Whispering Winds estimates that the useful life of the machine is 4 years with a $10,100 salvage value remaining at the end of that time period. Machine B (a)
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