Discuss the units-of-production depreciation

Assignment Help Accounting Basics
Reference no: EM131533857

Question: 1. A company purchases a machine for $96,000 on January 1, 2011. Its useful life is five years or 100,000 units of product, and its salvage value is $8,000. During 2011, 10,000 units of product are produced. Compute the book value of this machine on December 31, 2011, assuming

(a) straight-line depreciation and

(b) units-of-production depreciation.

2. Explain the difference between revenue expenditures and capital expenditures and how both are recorded.

Reference no: EM131533857

Questions Cloud

What does the term depreciation mean in accounting : On January 1, 2011, a company pays $77,000 to purchase office furniture with a zero salvage value. The furniture's useful life is somewhere between 7 and 10.
Create a web site to demonstrate your capability : CPT422 HTML and CSS Final Project - create a web site to demonstrate your capability of using HTML and CSS.
Examine the significance of political bias in reporting : Create an ethics policy for the media in handling the reporting of criminal justice issues and news. Examine the significance of political bias in reporting.
Discuss the two functions of data administration : Discuss the two functions of Data Administration (DA) and Database Administration (DBA). Summarize the responsibilities of each
Discuss the units-of-production depreciation : A company purchases a machine for $96,000 on January 1, 2011. Its useful life is five years or 100,000 units of product, and its salvage value is $8,000.
What is the npv of the? project : Arnold Inc. is considering a proposal to manufacture? high-end protein bars used as food supplements by body builders.
How could mitigation measures be applied to federal funding : How could mitigation measures be applied to federal funding for recovery after a disaster like the Northridge earthquake?
What is a betterment : In early January 2011, a company acquires equipment for $3,800. The company estimates this equipment to have a useful life of three years and a salvage value.
Four basic areas of finance : Explain each of the four basic areas of finance and how it relates to your experience in this course. Identify which topic was the most puzzling.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Information provided determine the amount of net cash flow

Carver Inc. had a beginning balance of $4,000 in its Accounts Receivable account.

  Accumulated earnings and profits prior to the distribution

Assume that Silver Corporation has no current or accumulated earnings and profits prior to the distribution. How would your answer change?

  Write down a 350- to 500-word summary describing the

write a 350- to 500-word summary explaining the differences between revenue expenditures and capital expenditures

  At december 31 2010 the records of seacrest enterprises

at december 31 2010 the records of seacrest enterprises provided the following selected and incomplete

  Journalize the transactions and posting

Journalize the Transactions and Posting  them into ledger and Preparation of Trial Balance.

  The general fund transfers 25000 to the debt service fund

interfund transactions are reciprocal or nonreciprocal. prepare journal entries to record the following interfund

  Journal entries using the percentage-of-completion method

the estimated future costs to complete the project total $3,300,000. Prepare Turners 2012 journal entries using the percentage-of-completion method.

  Gemini technologies has two product lines lasers and

gemini technologies has two product lines lasers and integrated circuits. during the current month the two product

  What are two or three bad reason for incurring external debt

How is external debt repaid, i.e., where do the funds come from to repay external debt?

  What is h basis in the real estate

Basis of Inherited Property. The basis of property acquired from a decedent is generally fair market value at date of death. What are the two exceptions to this rule ( do not include property subject to special-use valuation)?

  A roasting-salting machine to produce roasted walnuts

(a) Calculate the annual depreciation charge using the straight-line method and the reducing balance method. Assume that an annual rate of 40% is applicable for the reducing balance method.

  The investment account includes an investment in common

the following is a december 31 2013 post-closing trial balance for almway corporation. nbspnbspaccount

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd