Prepare a schedule of depreciation expense for an equipment, Accounting Basics

1. Mama's Fried Chicken bought equipment on January 2, 2010, for $15,000.  The equipment was expected to remain in service 4 years and to perform 3,000 fry jobs.  At the end of the equipment's useful life, Mama's estimates that its residual value will be $3000.  The equipment performed 300 jobs the first year, 900 the second year,1200 the third, and 600 the fourth year.  Prepare a schedule of depreciation expense per year for the equipment under the three depreciation methods.  After two years under the double-declining-balance depreciation, the company switched to the straight-line method.  Show your computations. 

Note:  3 depreciation schedules must be prepared.

2.  Which method tracks the wear and tear on the equipment most closely?

 

Posted Date: 3/9/2013 12:20:04 AM | Location : United States







Related Discussions:- Prepare a schedule of depreciation expense for an equipment, Assignment Help, Ask Question on Prepare a schedule of depreciation expense for an equipment, Get Answer, Expert's Help, Prepare a schedule of depreciation expense for an equipment Discussions

Write discussion on Prepare a schedule of depreciation expense for an equipment
Your posts are moderated
Related Questions
Q. What do you mean by note? A note is an unqualified written promise to pay another party the amount owed either when demanded or at a certain specified date habitually with i

The two fundamental sources of equity in a company are stockholders and creditors their combined interests are called total equities. To discover the equity ratio divide stockholde

How do your calculated stock prices compare to the company's present stock prices?   What do you think is causing them to deviate? This will need you to investigate a lit

Q. Explain about Representational faithfulness? Representational faithfulness To increase insight into this quality considers a map. When it shows bridges and roads where roads

journal entry fire insurance claim received for previous year is 50% of its original claim


what are the basic theory of accounting

If partners do not draw up a partnership agreement, the provisions of the Partnership Act apply on which statement is true like a provision of the Partnership Act? A Interest on

TYPES OF FINANCIAL ANALYSIS a) According to the material used, the study can be - i) External analysis : Where analysis is done by exterior interested parties and  ii)

Weekly tasks or assignments (Individual or Group Projects) will be due by Monday and late submissions will be assigned a late penalty in accordance with the late penalty policy fou