A new electric saw for cutting small pieces of lumber in a furniture manufacturing plant has a cost basis of $4,000 and a 10-year depreciable life. The estimated SV of the saw is zero at the end of 10 years. Determine the annual depreciation amounts using Declining Balance Method when DB is 150% Tabulate the annual depreciation amounts and the book value of the saw at the end of each year.

Q: the total depreciation after 3 years

A: MACRS Or Modified Accelerated Cost Recovery System is a method of calculating depreciation that is…

Q: total cost of depreciation up to the time

A: In declining balance method of calculating depreciation, depreciation is computed each year by…

Q: Q/ A contractor bought a construction mechanism at a price of $80,000. Records indicate that the…

A: Cost of Machine = $ 80,000 Useful life = 6 years Salvage value = $ 10,000 1. Straight Line Method…

Q: A grader has an initial cost of $220,000 and an estimated useful life of 10 years. The salvage value…

A: Answer:-  Double declining depreciation method:- When opposed to the straight line depreciation,…

Q: Doja Products placed a new machine into production 3 years ago. It had an installed cost of…

A: Book value calculated after deducting the depreciation value over particular period of time.…

Q: Company B recently acquired a small equipment that costs $30,000.  The asset has a life of 10 years…

A: The depreciation reduces the value of assets with tear off and usage of assets with passage of time.

Q: A company uses a computer for its employees to record their entry and exit digitally, the equipment…

A: Equipment cost = $ 32000 Scrap value = $ 7500 Life = 10 Years

Q: Prepare a depreciation schedule for three years for the following

A: Cost of machine = $31,000 Estimated life = 5 years Depreciation rate = 40% Residual value = $1000…

Q: A machinery that costs $100,000, has a service life of 5 years and a salvage value of $10,000 at the…

A: Initial Investment  $   1,00,000.00 Salvage Value  $      10,000.00 Tax Rate  30% MARR After…

Q: The initial cost of a paint sand mill, including its installation is P 800,000. The  depreciable…

A: Formula: Straight line method deprecation = ( Asset cost - Salvage value ) / Useful life

Q: ing P 720,000 is estimated to have a book value of P 40, 545.73 when retired at the end of 10 years.…

A: Constant percentage of declining value is method of depreciation in which there is constant…

Q: Use full-year depreciation for the adjusting entries

A: Journal refers to the process of recording all the monetary transactions which shows all the credit…

Q: A vehicle purchased for $20,700 depreciates at a constant rate of 4%. Determine the approximate…

A: Solution: Depreciation is the wear and tear cost of the asset. It is the cost of use of asset. When…

Q: A firm is evaluating the acquisition of an asset that costs $68,200 and requires $3,930 in…

A: The annual depreciation is computed as MACRS rate multiplied by asset cost.

Q: The fixed assets have estimated useful lives as follows: Building - 31.5 years Computer Equipment -…

A: Depreciation represents the gradual decrease in the value of these assets and is recorded as an…

Q: Bob's Umbrella Corporation has purchased equipment for $200,000. The expected useful life is 10…

A: Data given:Cost of equipment= $200,000Useful life=10 yearsResidual value=$0Working Note…

Q: A depreciable property costing 1,400,000 with original residual value of 80,000 after 10 years, had…

A: Revaluation Surplus = Fair value - Carrying Amount   Depreciation Expense = Cost - Residual…

Q: A central air-conditioning system that costs $15,314 has a life of 14 years with a $1,302 SV. What…

A: Definition: Straight-line depreciation method: The depreciation method which assumes that the…

Q: A building with a cost of $112,500 has an estimated residual value of $22,500, has an estimated…

A: Under straight line method of depreciation, depreciation remains same every year. Straight line…

Q: A machine costing P45,000 is estimated to have a salvage value of P4,350 when retired at the end of…

A: Depreciation rate =  1- ( Salvage Value/Cost)1/n Where n is the number of years of useful life.

Q: A machine of the factory cost RM100,000. The machines depreciates 10% every year by using straight…

A: Depreciation is a reduction in the value of assets due to the usage of that asset. We can evaluate…

Q: A healthcare facility purchases new equipment for $10,000,000.00. The new equipment has a scrap…

A: Depreciation expense :— It is the allocation of depreciable cost of asset over the estimated useful…

Q: A high-precision programmable router for shaping furniture components is purchased by Henredon for…

A: Under declining balance method, the depreciation is charged on the book value of the assets.

Q: NewTech purchases computer equipment for $261,000 to use in operating activities for the next four…

A: Solution: Choose Numerator / Choose Denominator = Annual Depreciation Cost minus salvage /…

Q: A dump truck was bought for P750,000 three years ago. It will have a salvage value of P100,000 two…

A: The question is based on the concept of Depreciation Accounting.

Q: Calculate the residual value of an oven in a bakery, whose installed cost is $40000.  The machine is…

A: Residual Value is that value which is balance book value of the asset at the end of assets life. If…

Q: A dump truck was bought for P750,000 three years ago. It will have a salvage value of P100,000 two…

A: Double Declining Balancing Method: It is a method of depreciation in which assets value gets…

Q: A company bought a new conveyor belt for $ 182,000. If it depreciates on a straight-line basis at $…

A: The useful life of machine can be calculated with the help of straight line depreciation formula

Q: A copy machine was purchased for $28,000. It is estimated that the machine will have a useful life…

A: Units of activity method is one of the depreciation method.It is used to record depreciation based…

Q: A piece of equipment is purchased for $40,000 and has an estimated salvage value of $1,000 at the…

A: A 200% declining balance method is the way of depreciating an equipment, which is used in order to…

Q: A crane rental company has acquired a new heavy-duty crane for $260,000. The company calculates…

A: Depreciation is a non-cash expense which is incurred due to a continuous use of fixed asset.…

Q: KFC purchased a new low-fat chicken cooker at a cost of $26,500. The estimated life of the fryer is…

A: Depreciation method not given in question, so assuming straight line method (SLM) for calculation…

Q: A motor vehicle for Subway cost $25,000. Management has decided to keep it for 5 years and then…

A: Meaning of SLM  Depreciation :- According to the Straight line method, the cost of the asset is…

Q: An asset costs $1,000,000.00 and has an estimated residual value of $250,000.00 at the end of 5…

A: Depreciation :— Depreciation means Gradual Decrease in the value of Assets due to normal wear, tear…

Q: A certain corn mill decide to sell its old engine which had been used for 5 years costing 7,200 new.…

A: Salvage value of the asset can be defined as the estimated final value of the asset at the end of…

Q: Company G purchased a school bus for $150,000. The bus has a useful life of 10 years or 1,000,000…

A: Depreciation expense rate = (Cost of bus - residual value) / Expected life of bus in miles =…

Q: Chaparral Sand and Gravel purchased a pit for $900,000 that is expected to yield 6000 tons of gravel…

A: For non renewal natural resources the concept of depliciation is used instead of depriciation.For…

Q: create a depreciation schedule to show the depreciation expenses for five years on a new piece of…

A: Here's the depreciation schedule for five years:YearBeginning book valuedepreciation expense (20% of…

Q: A new machine tool is being purchased for $25,000 and is expected to have a zero salvage value at…

A: Double declining depreciation rate = Straight line depreciation rate x 2 = (100/5 years) x 2 = 40%

Q: A machine having a first cost of P60,000 will be retired at the end of 8 years. Depreciation cost is…

A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets…

Q: Aeetal company has acquired a new heavy duty crane for $300.000 The company calculates depreciation…

A: Depreciation is a non-cash expense which is incurred due to a continuous use of fixed asset.…

Q: An asset costs $260,000 and is classified as a ten-year asset. What is the annual depreciation…

A: As per the table of MACRS depreciation, the depreciation rates for the three years with respect to…

Q: A machine with a purchase value of (150,000) dollars and the useful life of the machine is 7 years.…

A: Deprecation is that amount which is charge on assets every year after put to use due to wear and…

Q: A player computer has a cost of $3,850 with a residual of $800 and an estimated useful life of 5…

A: Solution: Annual depreciation using SLM = (Cost - Salvage value) / useful life = ($3,850 - $800) / 5…

Q: The initial cost of a paint sand mill, including its installation is P 700,000.00 . The BIR approved…

A: The calculation of annual depreciation under straight line method has been made as follows: Annual…