Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The cost of equipment purchased by Blue, Inc., on June 1, 2020, is 598,700. It is estimated that the machine will have a $6.300 salvage

image text in transcribed
The cost of equipment purchased by Blue, Inc., on June 1, 2020, is 598,700. It is estimated that the machine will have a $6.300 salvage value at the end of its service life. Its service life is estimated at 7 years, its total working hours are estimated at 46,200, and its total production is estimated at 577,500 units. During 2020, the machine was operated 7,380 hours and produced 67,650 units. During 2021, the machine was operated 6,765 hours and produced 59,000 units Compute depreciation expenso on the machine for the year ending December 31, 2020, and the year ending December 31, 2021 using the following methods. (Round depreciation per unit to 2 decimal places, e.g. 15.25 and final answers to o decimal places, e.g. 45,892.) 2020 2021 a) Straight-line S $ (b) Units of output S S ic Working hours $ $ S $ Sum-of-the-years-digits Double declining balance wice the straight rate fe) $

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

Intermediate Accounting IFRS

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

3rd edition

1119372933, 978-1119372936

More Books

Students also viewed these Accounting questions

Question

=+6. What five driving forces make CSR more relevant today?

Answered: 1 week ago