Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
help plz :) Problem 8-2A (Algo) Depreciation methods LO P1 A machine costing $210,000 with a four-year life and an estimated $16,000 salvage value is
help plz :) Problem 8-2A (Algo) Depreciation methods LO P1 A machine costing $210,000 with a four-year life and an estimated $16,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 485,000 units of product during its life. It actually produces the following units: 122,500 in Year 1,123,700 in Year 2,120,900 in Year 3, 127,900 in Year 4. The totat number of units produced by the end of Year 4 exceeds the original estimate--this difference was not predicted. Note: The machine cannot be depreciated below its estimated salvage value. Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. Note: Round your per unit depreciotion to 2 decimal places. Round your onswers to the nearest whole dollar. Complete this question by entering vour answers in the tabs below. Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Straght-line depreciation. A machine costing $210,000 with a four-year life and an estimated $16,000 salvage value is installed in Luther Company's factory on January 1 . The factory manager estimates the machine will produce 485,000 units of product during its life. It actually produces the following units: 122,500 in Year 1,123.700 in Year 2, 120,900 in Year 3,127,900 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate-this difference was not predicted. Note: The machine cannot be depreciated below its estimated salvage value. Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. Note: Round your per unit depreciation to 2 decimal places. Round your answers to the neorest whole dollor. Complete this question by entering your answers in the tabs below. Compute depreciation for each year (bnd total depreciation of all years combined) for the machine under the Units of production. January 1. The factory main estimates the machine will produce 485,000 units of product during its life. It actually produces the following units: 122,500 1,123,700 in Year 2,120,900 in Year 3,127,900 in Year 4. The total number of units produced by the end of Year 4 exceeds the onginal estimate-this difference was not predicted. Note: The machine cannot be depreciated below its estimated salvage value. Required: Compute depreciation for each year (and total depreclation of all.years combined) for the machine under each depreciation method. Note: Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollor. Complete this question by entering your answers in the tabs below. Compute depreciation for each year (and total depreciation of all years combined) for the mochine under the Double declining-balance
help plz :)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered 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