Compute depreciation expense on the machine

Assignment Help Accounting Basics
Reference no: EM13325211

(Depreciation for Partial Periods-SL, Act., SYD, and DDB)

The cost of equipment purchased by Charleston, Inc., on June 1, 2010 is $89,000. It is estimated that the machine will have a $5,000 salvage value at the end of its service life. Its service life is estimated at 7 years; its total working hours are estimated at 42,000 and its total production is estimated at 525,000 units. During 2010 the machine was operated 6,000 hours and produced 55,000 units. During 2011 the machine was operated 5,500 hours and produced 48,000 units.

Compute depreciation expense on the machine for the year ending December 31, 2010, and the year ending December 31, 2011, using the following methods.

a) Straight-line.
b) Units of output.
c) Working hours.
d) Sum of the years' digits
e) Declining balance (twice the straight-line rate)

Reference no: EM13325211

Questions Cloud

Explain what is the pka of the weak acid : A 0.24ml sample of a weak acid with an unknown pKa was combined with 12.0ml of a 3.20M KOH and the resulting was diluted to 1.500L. The measured pH of the solution was 3.75. What is the pKa of the weak acid
Depict major organic products for the sn1 reaction : Select the correct IUPAC name for the following organic substrate, including the R or S designation where appropriate, and draw the major organic product(s) for the SN1 reaction.
What is the speed of the plane in still air : An inexperience novice pilot was taking his brand new Cessna Skyhawk-172R plane for a trip from Tallahassee to Atlanta, which is 375 km due north. What is the speed of the plane in still air
Indistinguishable in appearence : You are given three brothers all indistinguishable in appearence. John and James always tell the truth and William always lies. You meet one of the three brothers on the street and wish to find out if he is john. Is there now a three word yes or no q..
Compute depreciation expense on the machine : Compute depreciation expense on the machine for the year ending December 31, 2010, and the year ending December 31, 2011, using the Straight-line method
What is the mass of the plane : A Japan Airlines Boeing 747 accelerates from rest to lift-off speed of 78.51 m/s in 28.20 s. What is the mass of the plane
Find out the number of unpaired electrons : After completing the orbital diagram of each element, determine the number of unpaired electrons for the following elements: Titanium Phosphorus Copper Selenium Fe+2 Na+ Mn+4 Cl+3
Evaluate the corrected trial balance : Cash received from a customer on account was debited for $570, and Accounts Receivable was credited for the same amount. The actual collection was for $750.
Determine the charge of the particle : A moving particle encounters an external electric field that decreases its kinetic energy from 8560 eV to 7750 eV as the particle moves from position A to position B. Determine the charge of the particle

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  The case study on metropolitan environmental services

The case study on "metropolitan environmental services"

  Determine the inventory cost

There are 50 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost by (a) the firstin, first-out method, (b) the last-in, first-out method, and (c) the average cost method.

  Total amount of expense relating to items

Lane Corp. has estimated that total depreciation expense for the year ending December 31, 2011 will amount to $300,000, and that 2011 year-end bonuses to employees will total $600,000. In Lane's interim income statement for the six months ended Ju..

  Marketing and distribution expenses

In addition, Anheuser-Busch sold 136 million barrels of beer during the year. Assume that variable costs were 70% of the cost of goods sold and 45% of marketing and distribution expenses.

  Net profit margins and working capital

I assume that sales grow at the rate of inflation, capital expenditures are equal to depreciation, and that net profit margins and working capital to sales ratios stay constant."What pattern of return on equity is implied by these assumptions? Is ..

  A review of the financial statements and notes

Per SAS 100 Procedures for Reviewing Interim Financial Information there are many items to review. One of these items that is necessary is to interview with members of management and the board of directors, why is this so crucial?

  Limited efficiency in collecting receivables

What conclusions can be drawn from these analyses regarding The Limited's efficiency in collecting receivables?

  Prepare cost of goods sold statement from the information

The information relating to cost department of ALPHA& OMEGA Corporation is as follows. Prepare Cost of Goods Sold Statement from the abovein formation.

  Describing generally accepted auditing standards

Describe the elements of the Generally Accepted Auditing Standards (GAAS).

  Determining generally accepted accounting principles

Generally Accepted Accounting Principles (GAAP) is based on accrual accounting. Define and describe accrual accounting and provide examples

  What should the calculation of the current ratio

The following financial information, what should the calculation of the current ratio (current assets/current liabilities) be using US GAAP and IFRS?

  Journal entry recording for the sale of old plotter

Toth chose to upgrade to a premium model in January 2007 and sold the old plotter to dunn drafting for $2,500. Prepare the journal entry recording for this sale of old plotter.

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!

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