Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. latt on demand purchased a coffee drink machine on

Latt On Demand purchased a coffee drink machine on January 1, 2011, for $44,000. Expected...

80.2K

Verified Solution

Question

Accounting

image
Latt On Demand purchased a coffee drink machine on January 1, 2011, for $44,000. Expected useful life is 10 years or 100,000 drinks. In 2011, 3,000 drinks were sold and in 2012, 14,000 drinks were sold. Residual value is $4,000. Under three depreciation methods, annual depreciation and total accumulated depreciation at the end of 2011 and 2012 are as follows: Method A Method B Method Annual Annual Annual Depreciation Accumulated Depreciation Accumulated Depreciation Accumulated Expense Depreciation Expense Depreciation Expense Depreciation $1,200 $1,200 $8,800 $ 8,800 $4,000 $4,000 5,600 6,800 7,040 15,840 4,000 8,000 Year 2011 2012 Requirements 1. Identify the depreciation method used in each instance, and show the equation and computation for each method. (Round to the nearest dollar.) 2. Assume use of the same method through 2013. Compute depreciation expense, accumulated depreciation, and net book value for 2011-2013 under each method, assuming 12,000 drinks were sold in 2013

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Statistics
1.2K views

2.         Complete the following in regard to the footlength and height categories of the data set:                                                                                                      a.   In the region to...

Biology
1.2K views

For each of the following statements, indicate whether it is true of all, some, or none...

Physics
1.2K views

90 71 6 18 4 3 A string 2 0 m long and fixed at...

Basic Math
1.2K views

The senior class is planning to take two separate trips to Disneyland. On the first...

Statistics
1.2K views

3 The random variable X has the following discrete probability distribution X 1 3 5...

Algebra
1.2K views

Evaluate the expression using De Moivre s Theorem 4 2i Give your answer in a...

Accounting
1.2K views

[The following information applies to the questions displayed below.] On December 31, Jarden Company's Allowance...

Accounting
1.2K views

Problem 14-11 (LO 14-4, 14-5, 14-6) A partnership begins its first year of operations with...

Accounting
1.2K views

13. Santana Corporation has 400,000 shares of common stock outstanding throughout 2018. In addition, the...

Accounting
1.2K views

P10-1B. Issuing shares (Learning Objectives 3 \& 7) 1015min. Partners Rolland and Salina wish to...

Finance
1.2K views

Three call options on a stock have the same expiration date and strike prices of...

Finance
1.2K views

2 polints Assume that inflation in the United States is 9% and inflation in Europe...