In January 1, 2020, Northeas: USA Transportation Company purchased a used arccaft at a cost of $46,400,000. Northeast USA empects the plane to remain useful for five years (7,000,000 miles) nd to have a residual value of $4,400,000 Northeas, USA expects to fly the plane 800,000 miles the first year, 1,650,000 miles each year during the second, third, and fourth years, and 1,250,000 ales the last year. vead the reguirements 1. Compute Northeast USA's depreciation for the first two years on the plane using the straight line method, the unts-ol production method, and the double-declining balarice method. a. Straightine method Using the straight-line method, depereciation is for 2080 and lon2021 theast USA Transportation Company purchased a used aircraft at a cost of $46,400,000. Northea alve of $4,400,000. Northeast USA expects to fly the plane 800,000 miles the first year, 1,650,000 Requirements 1. Compute Northeast USA's depreciation for the first two years on the plane using the following methods: a. Straight-line method b. Units-of-production method (round depreciation per mile to the closest cent) c. Double-declining-balance method 2. Show the airplane's book value at the end of the first year under each depreciason method. In January 1, 2020, Northeas: USA Transportation Company purchased a used arccaft at a cost of $46,400,000. Northeast USA empects the plane to remain useful for five years (7,000,000 miles) nd to have a residual value of $4,400,000 Northeas, USA expects to fly the plane 800,000 miles the first year, 1,650,000 miles each year during the second, third, and fourth years, and 1,250,000 ales the last year. vead the reguirements 1. Compute Northeast USA's depreciation for the first two years on the plane using the straight line method, the unts-ol production method, and the double-declining balarice method. a. Straightine method Using the straight-line method, depereciation is for 2080 and lon2021 theast USA Transportation Company purchased a used aircraft at a cost of $46,400,000. Northea alve of $4,400,000. Northeast USA expects to fly the plane 800,000 miles the first year, 1,650,000 Requirements 1. Compute Northeast USA's depreciation for the first two years on the plane using the following methods: a. Straight-line method b. Units-of-production method (round depreciation per mile to the closest cent) c. Double-declining-balance method 2. Show the airplane's book value at the end of the first year under each depreciason method
