Answered step by step
Verified Expert Solution
Question
1 Approved Answer
can someone please check if Part B is correct? Depreciation Expense In recent years, Cullumber Company has purchased three machines. Because of frequent employee turnover
can someone please check if Part B is correct? Depreciation Expense
In recent years, Cullumber Company has purchased three machines. Because of frequent employee turnover in the accounting department, a different accountant was in charge of selecting the depreciation method for each machine and various methods have been used. Information concerning the machines is summarized in the table below. Machine Salvage Value Cost Useful Life (in years) Depreciation Method 1 $132,000 $32,000 10 Acquired Jan 1, 2020 July 1, 2021 Nov. 1, 2021 2 72,000 11.400 5 Straight-line Declining-balance Units-of-activity 3 79,000 9,000 7 For the declining-balance method, Cullumber Company uses the double-declining rate. For the units-of-activity method, total machine hours are expected to be 35,000. Actual hours of use in the first 3 years were: 2021, 620: 2022.5,000; and 2023,6,200. Compute the amount of accumulated depreciation on each machine at December 31, 2023. MACHINE 1 MACHINE 2 MACHINE 3 Accumulated Depreciation at December 31 40000 $ 51264 23640 eTextbook and Media Attempts: 1 of 1 used (b) If machine 2 was purchased on April 1 instead of July 1, what would be the depreciation expense for this machine in 2021? In 2022? 2021 2022 Depreciation Expense $ 21600 $ 20160 Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started