Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Need help with Part 2 and 3. Part 1 I have completed and the answers are correct. Part 1 Answers: Problem 7.5A Part 1 Required:

Need help with Part 2 and 3. Part 1 I have completed and the answers are correct.

image text in transcribed

image text in transcribed

Part 1 Answers: Problem 7.5A Part 1 Required: 1. Prepare a depreciation schedule for six years using the straight-line method. Year 1 2 3 4 UNIVERSITY CAR WASH Depreciation Schedule-Straight-Line End of year amounts Depreciation Accumulated Book Value Expense Depreciation $ 32.250 $ 32.250 $ 180.750 3 32.250 2.250 64,500 64,5007 1 48,500 3 2.250 9.750 116.250 32.250 129,000 84.000 32.250 161.250 51.750 32.250 193,500 19.500 $ 193.500 5 6 Total Question: Required information Problem 7-5A Determine depreciation under three methods (LO7.4) (The following information applies to the questions displayed below.] University Car Wash built a deluxe car wash across the street from campus. The new machines cost $213.000 Including Installation. The company estimates that the equipment will have a residual value of $19.500. University Car Wash also estimates It will use the machine for six years or about 12.500 total hours. Actual use per year was as follows: Hours Used 3.000 1,200 1.300 2,700 2. See 1,880 'roblem 7-5A Part 2 - Prepare a depreciation schedule for six years using the double-declining-balance method. (Do not round your intermediate alculations.) UNIVERSITY CAR WASH Depreciation Schedule-Double-Declining-Balance End of year amounts Depreciation Accumulated Book Value Expense Depreciation Total Problem 7-5A Part 3 3. Prepare a depreciation schedule for six years using the activity-based method. places and use this amount in all subsequent calculations.) UNIVERSITY CAR WASH Depreciation Schedule-Activity-Based End of year amounts Depreciation Accumulated Book Value Expense Depreciation Year

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing And Assurance Services

Authors: Timothy Louwers, Penelope Bagley, Allen Blay, Jerry Strawser, Jay Thibodeau

9th Edition

1266796851, 9781266796852

More Books

Students also viewed these Accounting questions

Question

OUTCOME 2 Describe how a training needs assessment should be done.

Answered: 1 week ago