Wilbert Company purchased factory equipment with an invoice price of $90,000. Other costs incurred were freight costs, $1,100; installation wiring and foundation, $2,200; material and labor costs in testing equipment, $700; oil lubricants and supplies to be used with equipment, $500; fire insurance policy covering equipment, $1,400. The equipment is estimated to have a $5,000 salvage value at the end of its 8-year useful service life. Requirements: 1) Compute the acquisition cost of the equipment. Clearly identify each element of cost. 2) Using the double declining balance method: a) calculate and prepare the journal entry for depreciation expense for the second year.

Sepreciation Caict ssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false MSU login O Digital University .. O Tenant Portal - Login 国Reac eBook Show Me How E Print Item Units-of-Activity Depreciation A truck acquired at a cost of $250,000 has an estimated residual value of $15,000, has an estimated useful life of 47,000 miles, and was driven 3,800 miles during the year. Determine the following. If required, round your answer for the depreciation rate to two decimal places. a. The depreciable cost b. The depreciation rate per mile c. The units-of-activity depreciation for the year 5:39 AM 36% 4°F A @ O E O 12/17/2021 24 & 4. 6. 7. 81 近

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Recording Entries Using Composite Depreciation Method California Utilities owns a power plant that consists of the following assets, all acquired on January 1. Building Machinery Asset 171,000 Other equipment 90,000 a. Cost $540,000 Required a. Compute the total straight-line depreciation for the first year on all items combined. b. Compute the composite depreciation rate (based on cost) and the composite life. Estimated Estimated Residual Value Life (Years) $18,000 30 10 6 c. Provide the entry to record composite depreciation for the first year. d. Assume that all of the Other equipment was sold three years later for $10,800 cash. Prepare the entry for the sale of that equipment. Note: Round answers to the nearest whole dollar. b. Straight-Line Depreciation Expense Building Machinery C. 0 9,000 Other Equipment Total depreciation expense for Year 1 $ Composite depreciation rate $ Composite life (in years) $ tA Numerator Composite depreciation rate x 0 x $ 0 0 0 Denominator 0 / $ 0 / $…