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PLEASE HELP ME SOLVE THE PROBLEMS. THANKS At the beginning of the year, CCZ Corporation bought three used machines from Pequita Compression Incorporated. The machines
PLEASE HELP ME SOLVE THE PROBLEMS. THANKS
At the beginning of the year, CCZ Corporation bought three used machines from Pequita Compression Incorporated. The machines immediately were overhauled, installed, and started operating. Because the machines were different from each other, each was recorded separately in the accounts. Cost of the asset Installation costs Renovation costs prior to use Repairs after production began Machine A $10,200 1,700 700 600 Machine B $35,700 2,200 1,500 500 Machine C $23,000 900 1,700 800 By the end of the first year, each machine had been operating 8,000 hours. Required: 1-a. Compute the cost of each machine. Machine A B Total Total cost 12,600 39,400 25,600 77,600 2. Prepare the journal entry to record depreciation expense at the end of year 1, assuming the following: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Estimates Machine Life 4 years A B Residual Value $1,000 2,000 1,500 Depreciation Method Straight-line Units-of-production Double-declining-balance 34,000 hours 5 years No Transaction General Journal Debit Credit 2,900 8,800 x 10,240 1 Depreciation expense Depreciation expense Depreciation expense Accumulated depreciation, machine A Accumulated depreciation, machine B Accumulated depreciation, machine C *Red text indicates no response was expected in a cell or a formula-based calculation is incorrect; no points deducted. 2,900 8,800 10,240Step by Step Solution
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