Homework: Week Four: Chapter 10 exercises Save Score: 0.39 of 1 pt 3 of 5 (3 complete) HW Score: 34.21%, 2.39 of 7 pts %EF10-20 (similar to) Question Help 0 Southern Fried Chicken bought equipment on January 2, 2024, for $15,000. The equipment was expected to remain in service for four years and to operate for 2.400 hours. At the end of the equipment's useful ife, Southern estimates that its residual value will be $3,000. The equipment operated for 240 hours the first year, 720 hours the second year, 960 hours the third year, and 480 hours the fourth year. Read the requirements 15.000 6.000 Requirement 1. Prepare a schedule of depreciation expense, accumulated depreciation, and book value per year for the equipment under the three depreciation methods: straight-line, units-of-production, and double-declining-balance. Show your computations. Note: Three depreciation schedules must be prepared. Begin by preparing a depreciation schedule using the straight-line method. Straight-Line Depreciation Schedule Depreciation for the Year Asset Depreciable Useful Depreciation Accumulated Book Date Cost Cost Life Expense Depreciation Value 1-2-2024 $ 15,000 12-31-2024 12,000 4 years = $ 3.000 3.000 12 000 12-31-2025 12.000 4 years 3.000 6.000 9.000 12-31-2026 12.000 4 years 3.000 9,000 12-31-2027 12.000 4 years 3.000 12,000 3.000 Before calculating the units-of-production depreciation schedule, calculate the depreciation expense per unit. Select the formula then enter the amounts and calculate the depreciation expense per unit. Cost Residual value Useful life in units Depreciation per unit 15.000 3,000 2.400 Prepare a depreciation schedule using the units-of-production method. Units-of-Production Depreciation Schedule Depreciation for the Year Asset Depreciation Number of Depreciation Accumulated Book Date Cost Per Unit Units Expense Depreciation Value 1-2-2024 $ 15.000 $ 15,000 12-31-2024 $ 240 - $ 1.200 $ 1,200 13,800 12-31-2025 720 3,600 4,800 10,200 12-31-2020 960- 4.800 9,600 5.400 12-31-2027 480 - 2.400 12.000 3,000 Prepare a depreciation schedule using the double-declining-balance (DOB) method. (Enter a "o" for any items with a zero value. Double-Declining-Balance Depreciation Schedule Depreciation for the Year Asset Book DDB Depreciation Accumulated Book Date Cost Value Rate Expense Depreciation Value 1-2-2024 12-31-2024 12-31-2025 12-31-2026 12-31-2027 | 2 (1+4) 4 years 4 years * 2 2.400 Homework: Week Four: Chapter 10 exercises Save Score: 0.39 of 1 pt 3 of 5 (3 complete) HW Score: 34.21%, 2.39 of 7 pts %EF10-20 (similar to) Question Help 0 Southern Fried Chicken bought equipment on January 2, 2024, for $15,000. The equipment was expected to remain in service for four years and to operate for 2.400 hours. At the end of the equipment's useful ife, Southern estimates that its residual value will be $3,000. The equipment operated for 240 hours the first year, 720 hours the second year, 960 hours the third year, and 480 hours the fourth year. Read the requirements 15.000 6.000 Requirement 1. Prepare a schedule of depreciation expense, accumulated depreciation, and book value per year for the equipment under the three depreciation methods: straight-line, units-of-production, and double-declining-balance. Show your computations. Note: Three depreciation schedules must be prepared. Begin by preparing a depreciation schedule using the straight-line method. Straight-Line Depreciation Schedule Depreciation for the Year Asset Depreciable Useful Depreciation Accumulated Book Date Cost Cost Life Expense Depreciation Value 1-2-2024 $ 15,000 12-31-2024 12,000 4 years = $ 3.000 3.000 12 000 12-31-2025 12.000 4 years 3.000 6.000 9.000 12-31-2026 12.000 4 years 3.000 9,000 12-31-2027 12.000 4 years 3.000 12,000 3.000 Before calculating the units-of-production depreciation schedule, calculate the depreciation expense per unit. Select the formula then enter the amounts and calculate the depreciation expense per unit. Cost Residual value Useful life in units Depreciation per unit 15.000 3,000 2.400 Prepare a depreciation schedule using the units-of-production method. Units-of-Production Depreciation Schedule Depreciation for the Year Asset Depreciation Number of Depreciation Accumulated Book Date Cost Per Unit Units Expense Depreciation Value 1-2-2024 $ 15.000 $ 15,000 12-31-2024 $ 240 - $ 1.200 $ 1,200 13,800 12-31-2025 720 3,600 4,800 10,200 12-31-2020 960- 4.800 9,600 5.400 12-31-2027 480 - 2.400 12.000 3,000 Prepare a depreciation schedule using the double-declining-balance (DOB) method. (Enter a "o" for any items with a zero value. Double-Declining-Balance Depreciation Schedule Depreciation for the Year Asset Book DDB Depreciation Accumulated Book Date Cost Value Rate Expense Depreciation Value 1-2-2024 12-31-2024 12-31-2025 12-31-2026 12-31-2027 | 2 (1+4) 4 years 4 years * 2 2.400
