Question

Compute the depreciation schedule using straight line method for a copy machine that costs $51,186 and has SV of $1,783 at the end of a 12-year depreciable life.

Answer #1

Depreciation per year = (Initial cost - Salvage value) / Life in years

Depreciation per year = (51,186 -1,783)/12 = $4116.91 per year

From the following facts, complete a depreciation schedule by
using the straight-line method: (Input all amounts as
positive values.)
Cost
of Honda Accord Hybrid
$
39,600
Residual
value
$
5,800
Estimated
life
8
years
End of
year
Cost of Honda
Accord
Depreciation
expense for the year
Accumulated
depreciation at end of year
Book value at
end of year
1
$
$
$
$
2
$
$
$
$
3
$
$
$
$
4
$
$
$
$
5
$...

Cheetah Copy purchased a new copy machine. The new machine cost
$136,000 including installation. The company estimates the
equipment will have a residual value of $34,000. Cheetah Copy also
estimates it will use the machine for four years or about 8,000
total hours. Actual use per year was as follows:
Year
Hours Used
1
2,900
2
1,900
3
1,900
4
3,500
1. Prepare a depreciation schedule for four
years using the straight-line method.
CHEETAH COPY
Depreciation
Schedule—Straight-Line
End of Year...

Which of the following statements is true when the straight-line
method is used to compute depreciation expense?
1)
All statements are true.
2)
Carrying value is constant during an asset's useful life.
3)
Depreciation expense equals the depreciable cost divided by an
asset's useful life.
4)
Accumulated depreciation is constant during an asset's
estimated useful life.

Compute the depreciation each year of a machine that costs
$66,000 to purchase, and $4,000 to install with an 8-year life. Use
the DDB method (multiplier = 2) switching to straight line
depreciation when appropriate. Assume a salvage value of $0.

. Straight-line depreciation method: A unit of equipment is
purchased for $100,000, which is expected to be used 2,000 hr/yr.
The anticipated salvage value is $20,000 at the end of its 4-year
useful life. Calculate the hourly depreciation costs using the
straight-line depreciation method.

Apex Fitness Club uses straight-line depreciation for a machine
costing $23,860, with an estimated four-year life and a $2,400
salvage value. At the beginning of the third year, Apex determines
that the machine has three more years of remaining useful life,
after which it will have an estimated $2,000 salvage value.
Required:
1. Compute the machine’s book value at the end of its second
year.
2. Compute the amount of depreciation for each of the final three
years given...

Compute the depreciation each year of a machine that costs
$52,000 to purchase, and $4,000 to install with an 8-year life. Use
the DDB method (multiplier = 2) switching to straight line
depreciation when appropriate. Assume a salvage value of $0.
D1 =_____
D2 =_____
D3 =_____
D4 =_____
D5 =_____
D6 =_____
D7 =_____
D8 =_____

Apex Fitness Club uses straight-line depreciation for a machine
costing $26,700, with an estimated four-year life and a $2,850
salvage value. At the beginning of the third year, Apex determines
that the machine has three more years of remaining useful life,
after which it will have an estimated $2,400 salvage value.
Required:
1. Compute the machine’s book value at the end of
its second year.
2. Compute the amount of depreciation for each of
the final three years given the...

Apex Fitness Club uses straight-line depreciation for a machine
costing $25,300, with an estimated four-year life and a $2,250
salvage value. At the beginning of the third year, Apex determines
that the machine has three more years of remaining useful life,
after which it will have an estimated $1,800 salvage value.
Required:
1. Compute the machine’s book value at the end of
its second year.
2. Compute the amount of depreciation for each of
the final three years given the...

A copy machine acquired on May 1 with a cost of $2,545,
estimated useful life of 3 years, and residual value of $445.
Determine the depreciation for the first and second year by the
straight-line method and the net book value at the end of the
second year. (Circle Final Answers)
Straight Line Depreciation for Year 1:
Depreciation per year: ($ 2,545 - $ 445) / 3
=$ 700
Per Year 1st year depreciation = 700 / 12 * 8...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 22 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 2 hours ago

asked 2 hours ago

asked 2 hours ago

asked 3 hours ago

asked 4 hours ago

asked 4 hours ago

asked 4 hours ago