Question
Computation of Depreciation Expense Feng Company purchased a machine for $180,000 on September 1, 2013. It is estimated that the machine will have a 10-year
Computation of Depreciation Expense
Feng Company purchased a machine for $180,000 on September 1, 2013. It is estimated that the machine will have a 10-year life and a salvage value of $18,000. Its working hours and production in units are estimated at 36,000 and 750,000, respectively. It is the company's policy to depreciate assets for the number of months they are held during a year. During 2013, the machine was operated 1,500 hours and produced 21,000 units.
Calculate depreciation expense for all four methods. Do not round interim calculations. Round your final answers to the nearest dollar.
Double-declining-balance depreciation: = $12000
Sum-of-the-years'-digits depreciation: = ?
Productive-output depreciation: = ?
Service-hours depreciation: = $6750
Select the method that will give the greatest depreciation expense for 2013.
Double-declining-balance
I have got 3/5 of the answers. I still need Sum of the Year and productive out put. Please show your work. Thank you.
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