Chapter 17 Check-in Questions:

1. Calculate the total cost, depreciation, and annual depreciation for 25 Blenders and an Industrial refrigerator using the straight-line method.

	Cost	Shipping Charges	Setup Charge	Total Cost	Salvage Value	Estimated Useful Life (years)	Depreciation
							Total	Annual
A	$5,600	$210	$54		$600	6
B	$16,900	$310	0		$1900	4

2. Mikes Bikes decided on a new fleet of new delivery vans totaling $148,000. Delivery charges were $2,200, and installation of their high-capacity refrigerators amounted to $1,800. The equipment is expected to last four years and has a residual value of $3,000. If the company elects to use the straight-line depreciation method, prepare a depreciation schedule for these assets.

Sienna's Health & Fitness
Straight-Line Depreciation Schedule
Manufacturing Equipment
End of Year	Annual Depreciation	Accumulated Depreciation	Book Value
1
2
3
4

3. Sienna's Healthy bought a computerized engraving machine for personalized weight belts for $33,800. It is expected to have a 5-year useful life and a trade-in value of $2,700. Prepare a depreciation schedule for the first three years using the machine's 150% declining balance method.

Sienna's Health & Fitness
Declining Balance Schedule
End of Year	Beginning Book Value	Depreciation Rate	Depreciation for the year	Accumulate Depreciation	Ending Book Value
1
2
3

4. Complete the following as they relate to the units-of-production method of depreciation. For two pieces of equipment Sienna needed for her business office. Round answers to the nearest tenth of a cent.

	Asset	Cost	Salvage Value	Units of Useful Life	Depreciation per Unit
A	Irrigation Pump	$8,900	$250	500,000 Gallons
B	Copier	$3,900	0	160,000 copies