User Account

All Pages

Calculate depreciation expense in the year of acquisition

Assignment Help Accounting Basics
Reference no: EM133036694

Problem - Penny Corp. purchased a new car on March 1, 2019 for $25,000. The estimated useful life of the car was five years or 500,000 kms. Estimated salvage value was $5,000. The car was driven 120,000 kms. in 2019 and 150,000 kms. in 2020.

Required - Calculate the depreciation for 2019 and 2020 using

1. The straight-line method

2. Usage method (kms.)

3. Double-declining balance method.

Assume where applicable that the company uses the ½ year rule to calculate depreciation expense in the year of acquisition and disposal.

Reference no: EM133036694

Questions Cloud

Calculate their mortgage payment : Joe and Jo have found a house they really like. It is selling for $770000. Calculate their mortgage payment (in nearest dollar)
Describe sales and operations planning : Describe sales and operations planning in terms of its purpose, components, and frequency and how they support the business strategy.
Determine the market assessment of steady state return : Determine the market's assessment of its steady state return on equity using the discounted abnormal earnings model.
Explain three types of technology : Name and explain three types of technology you could use in scheduling and monitoring your work plans. How should you analyse your work objectives
Calculate depreciation expense in the year of acquisition : Assume where applicable that the company uses the ½ year rule to calculate depreciation expense in the year of acquisition and disposal
Explain deductive reasoning and inductive reasoning : -Discuss in about 200 words the Hierarchy of the information- based business decision makers. Which level has the best chance of success and why?
Key information technology based employment roles : Identify 2 key Information Technology based employment roles, typically found within a large organisation's computing department.
Dispute between the insurer and the insured : Insurance contracts have unique legal characteristics. These characteristics are sometimes misunderstood by consumers and may lead to a dispute between the insu
Identify the deeper problems microsoft : Identify the deeper problems microsoft is facing regarding the sale of computers in China

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd