Problem 9.2A Comparison of Straight-Line and Accelerated Methods (LO9-3, LO9-5)

Swanson & Hiller, Inc., purchased a new machine on September 1 of the current year at a cost of $108,000. The machines estimated useful life at the time of the purchase was five years, and its residual value was $8,000. The company reports on a calendar year basis. Required: a-2. Prepare a complete depreciation schedule, beginning with the current year, using the 200 percent declining-balance method. (Assume that the half-year convention is used).

c. Assume that Swanson & Hiller sells the machine on December 31 of the fourth year for $29,000 cash. Compute the resulting gain or loss from this sale under each of the depreciation methods used in part a.

Complete this question by entering your answers in the tabs below. Reg A1 Reg A2 Req A3 Reg B Reg C Prepare a complete depreciation schedule, beginning with the current ye (Assume that the half-year convention is used). (Round your answers to Year Depreciation Expense Accumulated Depreciation Book Value Complete this question by entering your answers in the tabs below. Reg A1 Reg A2 Reg A3 Reg B Regc Assume that Swanson & Hiller sells the machine on December 31 of the fou gain or loss from this sale under each of the depreciation methods used in Round your final answers to the nearest whole dollar.) Loss on disposal ( $ (9.000) Straight-Line 200 percent declining-balance 150 percent declining-balance Loss on disposal s (2487)