Pincer Company uses the declining balance depreciation method. It buys a machine for $104,900 that has an unknown salvage value and applies a 60% rate. The machine stays in service for 3 full years and is sold for $12,560 on the first day of year 4. Round all answers to the nearest dollar (no cents). Required 1: What depreciation expense will Pincer record in year 2? $ Required 2: What depreciation expense will Pincer record in year 3? $ Required 3: What accumulated depreciation will Pincer Co report at the end of year 2? $ Required 4: What accumulated depreciation will Pincer Co report at the end of year 3? $ Required 5: What is the net book value of the machine that Pincer Co reports at the end of year 2? $ Required 6: What is the net book value of the machine that Pincer Co reports at the end of year 3 provided the selling price is already known? $

Pincer Company uses the declining balance depreciation method. It buys a machine for $104,900 that has an unknown salvage value and applies a 60% rate. The machine stays in service for 3 full years and is sold for $12,560 on the first day of year 4. Round all answers to the nearest dollar (no cents). Required 1: What depreciation expense will Pincer record in year 2? $ Required 2: What depreciation expense will Pincer record in year 3? $ Required 3: What accumulated depreciation will Pincer Co report at the end of year 2? $ Required 4: What accumulated depreciation will Pincer Co report at the end of year 3? $ Required 5: What is the net book value of the machine that Pincer Co reports at the end of year 2? $ Required 6: What is the net book value of the machine that Pincer Co reports at the end of year 3 provided the selling price is already known? $

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter19: Accounting For Plant Assets, Depreciation, And Intangible Assets

Section: Chapter Questions

Problem 1CP

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