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On January 1,2020 , Northeast USA Transportation Company purchased a used aircrat at a cost...

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Accounting

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On January 1,2020 , Northeast USA Transportation Company purchased a used aircrat at a cost of $50,700,000. Northeast uSA expects the plane io remain usetu for five years (6,500,000 miles) and to have a residual value of $4,700,000. Northeast USA expects to fly the plane 835,000 miles the frrst year, 1,250,000 miles each year during the second, thind, and fourth years, and 1,915,000 miles the last year. Read the tequiremeats: 1. Compule Northeast USA's depreciation for the first two years on the plane using the straight-ine mothed, the units-ol-production method, and the double-declining balance method a. Straight-line method Uning the straight ine method, depreciation is for 2020 and for 2021 Requirements 1. Compute Northeast USA's depreciation for the first two years on the plane using the following methods: a. Straight-line method b. Units-of-production method (round depreciation per mile to the closest cent) c. Double-declining-balance method 2. Show the airplane's book value at the end of the first year under each depreciation method

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