Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Could you find the terms 2018 and 2019 in part b? Mocha Maria purchased a cotlee drink machine on January 1, 2018, for $67,000. Expected

image text in transcribed
Could you find the terms 2018 and 2019 in part b?
image text in transcribed
image text in transcribed
Mocha Maria purchased a cotlee drink machine on January 1, 2018, for $67,000. Expected usetul afe is 10 years or 120,000 drinks in 2018,2,000 drinks were sold, and in 2019,17,000 drinks ware sold. Residual value is $7,000. Read the recuitemonts Requirement 1. Deterrrine the depreciation expense for 2018 and 2019 using the following methods: (a) Straight-line (SL), (b) Unis of producton (UOP), and (c) Double-decining-bulance (DOB). For each method (starting with (a) the straight-line method), select the appropriate formula nooded to compute annual depreciation and then desermine depreciation expense under that maniod for 2018 and 2019 . (Round arry depreciation expense per unit amounts to the neurest cent and af other amounts to the nearest wholo dilar) Mocha Mania purchased a coflee drink machine on January 1, 2018, for 967,000 . Expected useful afe is 10 years or 120,000 drinks. In 2018,2,000 drinks were sold, and in 2019,17,000 drinks were sold. Residual value is $7.000. Rend the Requirement 1. Determine the depreciation expense for 2018 and 2019 using the following methods: (a) 5vaight-line (SL), (B) Units of producton (UOP) and (C) Double-declining-balance (OD8) For each method (starting with (o) the straight-line method), seloct the appropriate formula needed to compute annual depreciabion and then delermine depreciation expense under that method for. 2018 and 2019 . (Round any deprociation ewpense per unt amounts to the nearest cent and at other amounts to the nearest whole dolat)? Requirements 1. Determine the depreciation expense for 2018 and 2019 using the following methods: a. Straight-line b. Units-of-production c. Double-declining-balance 2. Prepare a schedule that shows annual depreciation expense, accumulated depreciation, and book value for 2018 and 2019 using the following methods: a. Straight-line b. Units-of-production c. Double-declining-balance 3. Assume that Mocha Mania sold the equipment for $46,000 cash on July 1 , 2020. Assume that management has depreciated the equipment by using the double-declining-balance method. Record Mocha Mania's depreciation for 2020 and the sale of the equipment on July 1,2020

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

Step: 3

blur-text-image

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

Cost Accounting A Managerial Emphasis

Authors: Charles T Horngren

5th Edition

0131796712, 978-0131796713

More Books

Students also viewed these Accounting questions

Question

=+beliefs about the brand, product, or service?

Answered: 1 week ago

Question

=+4. Did your message properly reflect the brand's image?

Answered: 1 week ago