Question
Cheyenne Company purchased a machine on January 1, 2013, for $65,000. The estimated life is 8 years and the estimated salvage value is $5,000. The
Cheyenne Company purchased a machine on January 1, 2013, for $65,000. The estimated life is 8 years and the estimated salvage value is $5,000. The machine has an estimated service life of 48,000 hours. In 2013, 6,900 hours were used.
REQUIRED:
Compute the depreciation to be recorded for the year ending December 31, 2013 using the:
Straight-line method
Production hours method
Sum-of-the years' digits method
Double-declining balance method
B. Presented below is information related to equipment owned by Swiss Company at December 31, 2013:
| Cost | $9,000,000 |
| Acc. depreciation to date | 1,000,000 |
| Expected undiscounted future cash flows | 7,000,000 |
| Fair Value | 4,800,000 |
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Computer Aided Fraud Prevention And Detection A Step By Step Guide
Authors: David Coderre
1st Edition
0470392436, 978-0470392430
