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Current Attempt in Progress On January 1, 2023, a machine was purchased for $100,000. The machine has an estimated salvage value of $5,920 and
Current Attempt in Progress On January 1, 2023, a machine was purchased for $100,000. The machine has an estimated salvage value of $5,920 and an estimated useful life of 5 years. The machine can operate for 112,000 hours before it needs to be replaced. The company closed its books on December 31 and operates the machine as follows: 2023, 22,400 hours; 2024, 28,000 hours; 2025, 16,800 hours; 2026, 33,600 hours: and 2027, 11,200 hours. Compute the annual depreciation charges over the machine's life assuming a December 31 year-end for each of the following depreciation methods. (Round rate per hour to 2 decimal places, eg. 15.25 and final answers to O decimal places, eg. 45,892) 1. Straight-line Method $ 18816 2. Activity Method Year 2023 18816 2024 $ 23520 2025 $ 14112 2026 $ 28224 2027 $ 9408 3. 4. Sum-of-the-Years-Digits Method Year 2023 $ 31360 2024 $ 25088 2025 $ 18816 2026 $ 12544 2027 $ 6272 Double-Declining-Balance Method Year 2023 $ 40000 2024 $ 24000 2025 $ 14400 2026 $ 8640 2027 $ 7040 Assume a fiscal year-end of September 30. Compute the annual depreciation charges over the asset's life applying each of the following methods. (Round answers to O decimal places, eg. 45,892) Year Straight-line Method 2023 $ 2024 2025 2026 2027 2028 Sum-of-the-years'-digits method Double-declining-balance method $
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