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Use the following information for the Exercises below. [The following information applies to the questions displayed below.) Ramirez Company installs a computerized manufacturing machine in

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Use the following information for the Exercises below. [The following information applies to the questions displayed below.) Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $81,400. The machine's useful life is estimated at 20 years, or 387,000 units of product, with a $4,000 salvage value. During its second year, the machine produces 32,700 units of product. Exercise 8-4 Straight-line depreciation LO P1 Determine the machine's second-year depreciation and year end book value under the straight-line method. Straight-Line Depreciation Choose Numerator: 1 Choose Denominator: Annual Depreciation Expense Depreciation expense $ 1,635 20 = Cost minus salvage I Estimated useful life (years) $ 32,7007 Year 2 Depreciation Year end book value (Year 2) Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $81,400. The machine's useful life is estimated at 20 years, or 387,000 units of product, with a $4,000 salvage value. During its second year, the machine produces 32,700 units of product. Exercise 8-5 Units-of-production depreciation LO P1 Determine the machine's second-year depreciation using the units-of-production method. Choose Numerator: Units-of-production Depreciation Choose Denominator: I Total units of production / Cost minus salvage Annual Depreciation Expense Depreciation expense per unit 0 Year Annual Production (units) Depreciation Expense 2 Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $81,400. The machine's useful life is estimated at 20 years, or 387,000 units of product, with a $4,000 salvage value. During its second year, the machine produces 32,700 units of product. Exercise 8-6 Double-declining-balance depreciation LO P1 Determine the machine's second-year depreciation using the double-declining-balance method. Double-declining-balance Depreciation Choose Factors: Choose Factor(%) Annual Depreciation Expense Depreciation expense Beginning book value x Double the straight-line rate $ 32,700 x First year's depreciation Second year's depreciation

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