User Account

All Pages

What is the depreciation expense for the accessories

Assignment Help Accounting Basics
Reference no: EM133168181

Question - Bigtime Corporation , a calendar-year corporation, purchased a machine for P1,300,000 on January 1, 2020. At the date of purchase, the Corporation incurred the following additional costs:

Loss on sale of old machinery P 20,000

Freight-in 10,000

Installation cost 40,000

Testing costs prior to regular operation 6,000

The estimated residual value of the machine was P100,000 and the Corporation estimated that the machine would have a useful life of 20 years, with depreciation being computed on the straight-line method. In January, 2022, accessories costing P72,000 were added to the machine in order to reduce its operating costs. These accessories neither prolong the machine's life nor did they provide any additional residual value.

Required -

1. What is the total cost of the machine acquired on January 1, 2020?

2. What is the depreciation expense for the accessories in 2022?

3. What is the total depreciation expense for 2022?

Reference no: EM133168181

Questions Cloud

What are some examples of land improvements : What are some examples of land improvements? What are the similarities and differences between the terms (a) depreciation, (b) depletion, and (c) amortization
How much interest will chandrak earn : The deposit earns a simple interest rate of 6%. If the term deposit will mature on November 10th how much interest will Chandrak earn
Targeted audiences perceptions about the product : The social context of the ad. How does the cultural context of the advertisement affect the targeted audiences' perceptions about the product?
About analyzing your target population : How would you go about analyzing your target population? What types of resources could you use? Select and identify a target population.
What is the depreciation expense for the accessories : The estimated residual value of the machine was P100,000. What is the depreciation expense for the accessories in 2022
Identify different segments of the market : Identify different segments of the market that you feel could benefit from the product.
Big brother of american case : What is (are) the marketing decision problem (s)? What is the resulting research problem and associated research questions?
Find the amount of joint cost allocated to nuts and bolts : For product costing purposes Cheyenne allocates joint costs using the relative sales value method. Find the amount of joint cost allocated to Nuts and Bolts
How much was paid per share on the re-purchase : Mar. 1- issued 10,000 common shares in exchange for land appraised at $170,000. How much was paid per share on the re-purchase

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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