On January 1, 2016, D Company acquires for $100,000 a new machine with an estimated useful life of 10 years and no residual value. The machine has a drum that must be replaced every five years and costs $20,000 to replace. The company uses straight-line depreciation. Under IFRS, what is depreciation for 2016? a. $10,000. b. $10,800. c. $12,000. d. $13,200.

On September 30, 2014, Leeds LTD, acquired a potent in conjunction with the purchase of another company. The potent, valued at $6 million, was estimated to have a 10-year life and no residual value. Leeds user the straight-line method of amortization for intangible assets. At the beginning of January 2016, Leeds successfully defended its patent against infringement. Litigation costs totaled $500,000. Requireal: 1. Calculate amortization of the potent for 2014 and 2015. 2. Prepare the journal entry to record the 2016 litigation costs. 3. Calculate amortization for 2016. Repeat requirements 2 and 3 assuming that Leeds prepares its financial statements according to IFRS.

On 1 July 2016 Liala Ltd sold an item of plant to Jordan Ltd for $450000 when its’ carrying value in Liala Ltd book was $600000 (costs $900000, accumulated depreciation $300000). This plant has a remaining useful life of five (5) years from the date of sale. The group measures its property plants and equipment using a cost model. Tax rate is 30 percent. Required:Pass the necessary entries on 30 June 2017 and 30 June 2018 to eliminate the intra-group transfer of equipment.

Question 1. Ltd purchased a machine on 1 July 2014 for $320,000. The machine is expected to have a useful life of 4 years (straight-line basis) and no residual value. The ATO allows the company to depreciate the asset over 5 years for taxation purposes. The profit before tax for the company for the year ending 30 June 2015 is $500,000. The tax rate is 30%.   Required:   A).Calculate the company's taxable profit and hence its tax payable for 2015.   B).Determine the deferred tax liability or deferred tax asset that will result.   C). Prepare the necessary journal entries on 30 June 2015.

Popeye Company purchased a machine for $350,000 on January 1, 2020. Popeye depreciates machines of this type by the straight-line method over a five-year period using no salvage value. Due to an error, no depreciation was taken on this machine in 2020. Popeye discovered the error in 2021. What amount should Popeye record as depreciation expense for 2021? The tax rate is 25%. O O O O $105,000. $52,500. $70,000. $140,000.

Depreciation and Rate of Return Burrell Company purchased a machine for $33,000 on January 2, 2016. The machine has an estimated service life of 5 years and a zero estimated residual value. The asset earns income before depreciation and income taxes of $16,500 each year. The tax rate is 25%. Required: Compute the rate of return earned (on the average net asset value) by the company each year of the asset's life under the straight-line and the double-declining-balance depreciation methods. Assume that the machine is the company's only asset. Straight-line method. Do not round intermediate calculations. Round final answers to two decimal places. 2016 25 % 2017 32.14 2018 45 % 2019 75 % 2020 225 Double-declining-balance depreciation method. Do not round intermediate calculations. Round final answers to two decimal places. 2016 % 2017 2018 2019 % 2020 %

s

Zorzi Corporation purchased a Machine on January 1, 2017 for $80,000. The machinery is estimated to have a salvage value of $8,000 after a useful life of 8 years. Compute the depreciation expense for 2017 using the sume of the years didgets method assuming the machine was purchased on October 1, 2017 O $2,500 O $12.000 O S7.500 O $10,000

Sunland Corporation, which uses straight-line depreciation and amortization, incurred the following costs in 2026: Acquisition of R&D equipment with a useful life of 4 years in R&D projects (no salvage) $996000 Cost of making minor modifications to an existing product Advertising expense to introduce a new product 146000 760000 Engineering costs incurred to advance a product to full production stage 860000 What amount should Sunland report as research & development expense in 2026? O $1109000 O $1192000 O $1952000 $1620000

I need correct solution