Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Carla Vista Ltd. purchased a new machine on April 4, 2017, at a cost of $176,000. The company estimated that the machine would have a

image text in transcribed
image text in transcribed
image text in transcribed
Carla Vista Ltd. purchased a new machine on April 4, 2017, at a cost of $176,000. 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 1,600 hours in 2017:2 200 hours in 2018; 2,300 hours in 2019;2,000 hours in 2020; and 1,900 hours in 2021. Carla Vista has a December 31 year end. (a) Your answer is partially correct. nse per unit to 2 decimal places, eg. 2.75 Calculate depreciation for the machine under each of the following methods: (Round and final answers to decimal places, eg. 5,275.) (1) Straight-line for 2017 through to 2021 2017 expense $ 39500 2018 expense $ 39500 2019 expense $ 39500 2020 expense $ 39500 2021 expense (2) Diminishing-balance using double the straight-line rate for 2017 through to 2021 2017 expense $ 88000.000 2018 expense $ 44000.000 2019 expense $ 22000.000 2020 expense 11000.000 2021 expense $ 5500,000 (3) Units-of-production for 2017 through to 2021 2017 expense $ A 28160 2018 expense 38720 2019 expense 40480 2020 expense $ 35200 2021 expense $ 33440

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

Forensic Analytics Methods And Techniques For Forensic Accounting Investigations

Authors: Mark J. Nigrini

1st Edition

0470890460, 978-0470890462

More Books

Students also viewed these Accounting questions

Question

Are the hours flexible or set?

Answered: 1 week ago

Question

differentiate the function ( x + 1 ) / ( x ^ 3 + x - 6 )

Answered: 1 week ago