Answered step by step
Verified Expert Solution
Question
1 Approved Answer
i need help thx Problem 9-3A a-b (Part Level Submission) Orlole Umited purchased a machine installation and testing of the machine. The machine was ready
i need help thx
Problem 9-3A a-b (Part Level Submission) Orlole Umited purchased a machine installation and testing of the machine. The machine was ready for use on April 30. n account on April 2, 2018, at an invoice price of $368,760. On April 4, It pald $1,950 for delivery of the machine. A one-year, $3,860 insurance policy the machine was purchased on April 5. On April 18, Orlole pald $7,740 for e a a Decembor or 6,197 units with a residual value of $84.39a. Assume the machine praduces the following numbers of units each year: 937 units in 2018: 1.353 units in 2019: 1.528 units in 2020: 1.303 units in 2021: and (a) Your answer is correct. Determine the cost of the machine Cost of the machines 379450 SHOW SOLUTION LINK 1O TFXT LINK TO TEXI Attempts: 3 of 3 used (b) Your answer is partially correct. Try again. Calculate tl annual depreciation and total deprediation over the asset's life using: (Round the depreciation cost per unit to the nearest cent. Round answers to 0 decimal places, e.g. 5,275.) (1) Straight-line method Year Depreciable Cost Depreciation Expense Accumulated Depreciation Carrying Amount 39201 3920 294060 2018 33924 2019 25485 58812 9802 280430 58812 2020 196040 156032 221618 137228 2021 58812 215644 16280 78416 T 58812 103904 2022 274456 78416 2022 274456 58812 103994 19604 2023 19604 294060 84390 (2) Double-diminishing-balance method Opening Carrying Amount Depreciation Expense Accumulated Depreciation Carrying Amount Year 2018 2019 2020 2021 x 2022 2023 (3) Units-of-production method Depreciation Expense Accumulated Depreciation Units-of-production Carrying Amount Year X 2018 2019 2020 2021 2022 Which method causes net income to be lower in the early years of the asset's lifeStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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