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Jon Seceda Furnace Corp. purchased machinery on May 1, 2020. The following are provided concerning the machinery Machinery cost $315,000 Estimated salvage value 15,000
Jon Seceda Furnace Corp. purchased machinery on May 1, 2020. The following are provided concerning the machinery Machinery cost $315,000 Estimated salvage value 15,000 Estimated useful life 10 years Estimated production Estimated working hours 240,000 units 25,000 hours Actual hours used in 2021 2,650 hours Actual units produced in 2021 25,500 units Instructions: From the information given, compute the depreciation charge for 2021 under each of the following methods. (Round to the nearest dollar.) (a) Straight-line (b) Units-of-output (c) Working hours (d) Sum-of-years' digits 5(e) 200% Declining-balance 7 Note: Use Excel's depreciation functions to solve when available 3(a) Straight-line using the SLN function 9 (b) Units-of-output 2 3 4 5 6 (c) Working hours 7 8 9 0 1 (d) Sum-of-years' digits using SYD function 2 3 4 5 6 -7 (e) 200% Declining-balance 8 -9 50 1 2 53 4 55
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