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Flounder Corporation purchased a new plant asset on April 1, 2023 , at a cost of $744,000. It was estimated to have a useful life
Flounder Corporation purchased a new plant asset on April 1, 2023 , at a cost of $744,000. It was estimated to have a useful life of 20 years and a residual value of $324,000, a physical life of 30 years, and a salvage value of $0. Flounder's accounting period is the calendar year. Flounder prepares financial statements in accordance with IFRS. Calculate the depreciation for this asset for 2023 and 2024 using the straight-line method. (Round answers to 0 decimal places, e.g. 5,275.) Calculate the depreciation for this asset for 2023 and 2024 using the double-declining-balance method. (Round answers to 0 decimal places, e.g. 5,275.) Calculate the depreciation for this asset for 2023 and 2024 using the straight-line method and assuming Flounder prepares financial statements in accordance with ASPE. (Do not round intermediate calculations and round answers to 0 decimal places, e.g. 5,275.) Assume that additional information has been provided relating to the cost ($744,000). There are three components of the plant asset. Components 1, 2, and 3 have costs of $450,000,$200,000, and $94,000, respectively. The useful lives of components 1,2 , and 3 are 25,20 , and 30 years, respectively. Determine straight-line depreciation expense for 2023 and 2024 for each component under IFRS if the residual value is $160,000 for component 1, $88,000 for component 2, and $76,000 for component 3. (Do not round intermediate calculations and round answers to 0 decimal places, e.g. 5,275.)
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