Determine the depreciation expense and the ending book

Reference no: EM13575227

Acme Corporation purchased a new machine on September 30, 20X1 at a cost of $23,000. The machine is expected to last five years and have a salvage value of $3,000 at the end of that time. Acme has a calendar fiscal year.

REQUIRED:

Part 1:Determine the depreciation expense and the ending book values of the machine for fiscal years 20X1-20X6 using the straight-line depreciation method. (Show calculations.)

Part 2:Determine the depreciation expense and the ending book values of the machines for fiscal years 20X1-20X6 using the double declining balance depreciation method. (Show calculations.)

Part 3:Determine the depreciation expense and the ending book values of the machines for fiscal years 20X1-20X6 using the units of activity depreciation method. Assume the machine is expected to be used for 100,000 hours and was used as follows: 20X1: 10,000 hours; 20X2: 16,000; 20X3: 21,000; 20X4: 22,000 hours; 20X5: 20,000 hours; and 20X6: 11,000 hours. (Show calculations.)

Reference no: EM13575227

Questions Cloud

Olaf corporation prepares its statement of cash flows : olaf corporation prepares its statement of cash flows using the direct method. the following items were listed on olafs

The new asset will cost 75000 and will also be depreciated : a corporation has decided to replace an exisiting asset with a newer model. two years ago the existing asset

You been managing a 5 million dollar portfolio that has a : you been managing a 5 million dollar portfolio that has a beta of 1.25 and a required rate of return of 13. the current

Randomly selected nonfatal occupational injuries and : randomly selected nonfatal occupational injuries and illnesses are categorized according to the day of the week that

Determine the depreciation expense and the ending book : acme corporation purchased a new machine on september 30 20x1 at a cost of 23000. the machine is expected to last five

Stritch company is trying to decide how many units of : stritch company is trying to decide how many units of merchandise to order each month. the companys policy is to have

Mickelson corporation will pay a 290 per share dividend : mickelson corporation will pay a 2.90 per share dividend next year. the next company pledges to increase its dividend

At the 005 significance level is there sufficient evidence : a certain researcher thinks that the proportion of women who say that female bosses are harshly critical is greater

In the past the 10 persons employed in the production of : barberry inc. manufactures a product called fruta. the company uses a standard cost system and has established the

User Account

All Pages