Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1, 2018, a machine was purchased for $1

On January 1, 2018, a machine was purchased for $100,000. The machine has an estimated...

70.2K

Verified Solution

Question

Accounting

image

On January 1, 2018, a machine was purchased for $100,000. The machine has an estimated salvage value of $6,400 and an estimated useful life of 5 years. The machine can operate for 104,000 hours before it needs to be replaced. The company closed its books on December 31 and operates the machine as follows: 2018, 20,800 hrs; 2019, 26,000 hrs; 2020, 15,600 hrs; 2021, 31,200 hrs; and 2022, 10,400 hrs. (a) Compute the annual depreciation charges over the machine's life assuming a December 31 year-end for each of the following depreciation methods. (Round answers to o decimal places, e.g. 45,892.) 1. Straight-line Method 2. Activity Method Year 2018 $. 2019 $ 2020 $ 2021 $ 2022 $ 3. Sum-of-the-Years'-Digits Method Year 2018 $ 2019 $ 2020 $ $1 2021 2022 $ 4. Double-Declining-Balance Method Year 2018 $ 2019 $ 2020 $ 2021 $ 2022 $

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