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Equipment was purchased for the cost of $758,000 on March 1. The company's fiscal year end is December 31. The equipment is estimated to have
Equipment was purchased for the cost of $758,000 on March 1. The company's fiscal year end is December 31. The equipment is estimated to have an eight-year life and a $154,000 residual value. Based on experience, the equipment can produce 650,000 units of a product before it must be replaced. The budgeted numbers of units per year are: Year 2020 2021 2022 2023 2024 2025 No. of 75,000 Units 100,000 125,000 60,000 85,000 45,000 hased for the cost of $758,000 on March 1. The company's fiscal year end is December estimated to have an eight-year life and a $154,000 residual value. Based on experience, roduce 650,000 units of a product before it must be replaced. The budgeted numbers of 2020 2021 2022 2023 2024 2025 2026 2027 75,000 100,000 125,000 60,000 85,000 45,000 60,000 100,000 When answering the following questions, don't round your figures when doing calculations to avoid rounding errors. 1. Using the straight-line method, calculate the depreciation expense for fiscal year 2020 (nearest dollar without comma, e.g. 15000): 2. Using the straight-line method, calculate accumulated depreciation as at December 31, 2021 (nearest dollar without comma, e.g. 15000): 3. Using the units-of-production method, calculate the accumulated depreciation as at December 31, 2021 (nearest dollar without comma, e.g. 15000): 4. Using the units-of-production method, calculate the depreciation expense for fiscal year 2023 (nearest dollar without comma, e.g. 15000): 5. Using the double diminishing-balance method, calculate the annual rate (nearest percentage without % symbol, e.g. 25): 6. Using the double diminishing-balance method, calculate the depreciation expense for fiscal year 2020 (nearest dollar without comma, e.g. 15000)
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