Blue Manufacturing purchased a machine on January 1, 2020 foruse in its factory. Blue...

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Accounting

Blue Manufacturing purchased a machine on January 1, 2020 foruse in its factory. Blue paid $458,000 for the machine andestimated that it had a useful life of 10 years, at the end ofwhich time the machine was expected to have a residual value of$40,000. During its life, the machine was expected to produce380,000 units. During 2020, the machine produced 41,800 units, andproduced 58,600 in 2021. The machine was subject to a 20% CCA rate,and Blue’s year-end was December 31.
Calculate the annual depreciation amount for 2020 and 2021 underthe straight-line method.
2020 2021
Annual depreciation amount $ 41800 $ 41800
eTextbook and Media
Calculate the annual depreciation amount for 2020 and 2021 underthe activity method. (Round per unit value to 2 decimalplaces e.g. 5.75 and final answers to 0 decimal places, e.g.5,275.)
2020 2021
Annual depreciation amount $ 45980 $ 64460
Calculate the annual depreciation amount for 2020 and 2021 underthe double-declining balance method.
2020 2021
Annual depreciation amount $ ??? $ ???
eTextbook and Media
Calculate the annual depreciation amount for 2020 and 2021 underthe capital cost allowance method.
2020 2021
Annual depreciation amount $ ??? $ ???
I can't get my calculations to work out for the last 2?

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3.6 Ratings (379 Votes)

Machine Value 458000Salvage Value 40000Depreciaible Value MVSV 418000Useful Life of the Asset 10 Years1 Under SLM method Depreciable value will be divided equallyinto 10 years resulting into each years depreciation41800010 41800 per YearYear20202021Depreciation41800418002 Activity Method Depreciable value will be divided intototal See Answer

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In: AccountingBlue Manufacturing purchased a machine on January 1, 2020 foruse in its factory. Blue paid...Blue Manufacturing purchased a machine on January 1, 2020 foruse in its factory. Blue paid $458,000 for the machine andestimated that it had a useful life of 10 years, at the end ofwhich time the machine was expected to have a residual value of$40,000. During its life, the machine was expected to produce380,000 units. During 2020, the machine produced 41,800 units, andproduced 58,600 in 2021. The machine was subject to a 20% CCA rate,and Blue’s year-end was December 31.Calculate the annual depreciation amount for 2020 and 2021 underthe straight-line method.20202021Annual depreciation amount$ 41800$ 41800eTextbook and MediaCalculate the annual depreciation amount for 2020 and 2021 underthe activity method. (Round per unit value to 2 decimalplaces e.g. 5.75 and final answers to 0 decimal places, e.g.5,275.)20202021Annual depreciation amount$ 45980$ 64460Calculate the annual depreciation amount for 2020 and 2021 underthe double-declining balance method.20202021Annual depreciation amount$ ???$ ???eTextbook and MediaCalculate the annual depreciation amount for 2020 and 2021 underthe capital cost allowance method.20202021Annual depreciation amount$ ???$ ???I can't get my calculations to work out for the last 2?