Company Confidential purchases a laser cutting machine for Php 28,000,000.00. This does not include the delivery and installation cost of 15% of the item price. They plan to use it for 15, years, though it is also rated for 100,000 hours only. The salvage value for the machine is expected to be Php 25,000.00 at the end of life. Calculate and draw the depreciation table (year, depreciation, book value per year) for the following: Finally, graph all the depreciations as lines in a single graph, with proper labels and legends. a) Straight line depreciation b) Double declining balance c) Sinking fund method with 6% interest rate

Company Confidential purchases a laser cutting machine for Php 28,000,000.00. This does not include the delivery and installation cost of 15% of the item price. They plan to use it for 15, years, though it is also rated for 100,000 hours only. The salvage value for the machine is expected to be Php 25,000.00 at the end of life. Calculate and draw the depreciation table (year, depreciation, book value per year) for the following: Finally, graph all the depreciations as lines in a single graph, with proper labels and legends. a) Straight line depreciation b) Double declining balance c) Sinking fund method with 6% interest rate

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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