An automated assembly robot that cost $378,000 has a depreciable life of 5 years with a $80,000 salvage value. The MACRS(Modified Accelerated Cost Recovery System) depreciation rates for years 1, 2, 3, and 6 are 20.00%, 32.00%, 19.20%, and 5.76%,respectively. What is the book value at the end of year 3? Year 5? Year 6?The book value at the end of year 3 is $The book value at the end of year 5 is $The book value at the end of year 6 is $

The Modified Accelerated Cost Recovery System (MACRS) is a method of depreciation in which a…

Answered: An automated assembly robot that cost…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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An automated assembly robot that cost $400,000 has a depreciable life of 5 years with a $100,000 salvage value. The MACRS depreciation rates for years 1, 2, and 3 are 20.00%, 32.00%, and 19.20%, respectively. What is the book value at the end of year 3? Year 5? Year 6?
An equipment costing P250,000 has an estimated life of 15 years with a book value of P30,000 at the end of the period. Compute the depreciation charge and its book value after 10 years using the sum of years digit method.
A draw bench for precision forming and strengthening of carbon steel tubing has a cost of $1,140,000. It will have a salvage value of $94,000 after a useful life of 10 years. Part a Using the formulas, determine the depreciation charge for year 7 and the book value at the end of year 7 if straight-line depreciation is used. Depreciation charge: Book value: $ Carry all interim calculations to 5 decimal places and then round your final answers to a whole number. The tolerance is ±1.
An SMP machine costs $500,000 and has a $50,000 salvage value after 10 years of use. Using straight-line depreciation, what are the depreciation charge and book value for the machine after year 5?
An equipment costs ¥ 10,000 with a salvage value of ¥ 500 at the end of 10 years. Calculate the total depreciation charge and book value at the end of 7 years using: *Answer should be rounded off to 2 decimal places. Do show solution, thank you.
Thank you A drilling machine was acquired by Western Harverster Co at a cost (B) = $50,000 with a 5-year recovery period and salvage value S =$10,000. What is the depreciation in year 3 using MACRS? Using MACRS, what fraction of the initial $50,000 will be cumulatively depreciated by the end of year 3? If MACRS depreciation is used, what is the Book Value at the end of year 2?
A man bought a machine for $ 535705 six years ago. It has a salvage value of $ 36957 four years from now. He sold it now for $ 46847. What is the sunk cost or the value of the machine that the man lost if the depreciation method used is a Sum of the Years' Digit method?
A couple of years ago, the company Health4All purchased land, a building, and two depreciable assets from another corporation. All of these have recently been disposed. Use the information shown to determine the presence and amount of any capital gain, capital loss, or depreciation recapture. Asset Land Building Asset 1 Asset 2 Purchase Price, $ -210,000 -800,000 -50,500 -10,000 Recovery Period, Years 27.5 3 3 Current Book Value, $ 320,000 15,500 5,000 Sales Price, $ 265,000 255,000 21,000 11,500 The capital gain (CG) amount for land is determined to be $ The capital loss (CL) amount for building is determined to be $ The depreciation recapture (DR) amount for asset 1 is determined to be $ The depreciation recapture (DR) amount for asset 2 is determined to be $ The capital gain (CG) amount for asset 2 is determined to be $
Equipment costs P10,000 with salvage value of P500 at the end of 10 years. Find the total depreciation charge for the first three years using the declining balance method.
A machine purchased for #919866 has a depreciable life of 7 years, and it has a terminal book (salvage) value of 28588 at the end of its depreciable life. With the straight-line method of depreciation, what is the asset's book value at the end of year 5? Round your answer to 2 decimal places.
A draw bench for precision forming and strengthening of carbon steel tubing has a cost of $900,000. It will have a salvage value of $88,000 after a useful life of 10 years. Part a Your answer has been saved. See score details after the due date. Using the formulas, determine the depreciation charge for year 2 and the book value at the end of year 2 if straight-line depreciation is used. Depreciation charge: Book value: Part b $ Depreciation charge: $ Carry all interim calculations to 5 decimal places and then round your final answers to a whole number. The tolerance is ±1. Book value: Using the formulas, determine the depreciation charge for year 2 and the book value at the end of year 2 if double declining balance depreciation is used. 81200 $ 737600 $ Carry all interim calculations to 5 decimal places and then round your final answers to a whole number. The tolerance is ±5.
A video-recording system was purchased 3 years ago at a cost of $40,000. A 5-year recovery period and DDB (Double Declining Balance) depreciation have been used to write off the basis. The system is to be replaced this year with a trade-in value of $4,000. What is the difference between the book value and the trade-in value? The difference between the book value and the trade-in value is $

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