On January 2, 2021, Jatson Corporation acquired a new machine with an estimated useful life of five years. The cost of the equipment was $80,000 with an estimated residual value of $7,000.   a-1. Prepare a complete depreciation table under the straight-line method. Assume that a full year of depreciation was taken in 2021. a-2. Prepare a complete depreciation table under the 200 percent declining-balance method. Assume that a full year of depreciation was taken in 2021. Depreciation rate is 0,40) a-3. Prepare a complete depreciation table under the 150 percent declining-balance with a switch to straight-line when it will maximize depreciation expense. Assume that a full year of depreciation was taken in 2021. (depreciation rate is 0,30)

FINANCIAL ACCOUNTING
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ISBN:9781259964947
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Chapter1: Financial Statements And Business Decisions
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On January 2, 2021, Jatson Corporation acquired a new machine with an estimated useful life of five years. The cost of the equipment was $80,000 with an estimated residual value of $7,000.

 

a-1. Prepare a complete depreciation table under the straight-line method. Assume that a full year of depreciation was taken in 2021.

a-2. Prepare a complete depreciation table under the 200 percent declining-balance method. Assume that a full year of depreciation was taken in 2021. Depreciation rate is 0,40)

a-3. Prepare a complete depreciation table under the 150 percent declining-balance with a switch to straight-line when it will maximize depreciation expense. Assume that a full year of depreciation was taken in 2021. (depreciation rate is 0,30)

 

WHAT IS THE REQ A3 CORRECT ANSWERS ? THERE ARE SOME ANSWERS WRONG.

Req A1
Req A2
Req A3
Prepare a complete depreciation table under the 150 percent o
maximize depreciation expense. Assume that a full year of dep
nearest whole number.)
Depreciation
Expense
Accumulated
Year
Вook Value
Depreciation
$
24,000 $
24,000
16,800
2021
56,000
2022
40,800
39,200
2023
11,760
52,560
27,440
2024
8,232
60,792
19,208
2025
12,208
73,000
7,000
%24
Transcribed Image Text:Req A1 Req A2 Req A3 Prepare a complete depreciation table under the 150 percent o maximize depreciation expense. Assume that a full year of dep nearest whole number.) Depreciation Expense Accumulated Year Вook Value Depreciation $ 24,000 $ 24,000 16,800 2021 56,000 2022 40,800 39,200 2023 11,760 52,560 27,440 2024 8,232 60,792 19,208 2025 12,208 73,000 7,000 %24
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