User Account

All Pages

Compute depreciation expense under straight-line method

Assignment Help Financial Management
Reference no: EM132316854

Question :

Metlock Company purchased equipment for $258,915 on October 1, 2017. It is estimated that the equipment will have a useful life of 8 years and a salvage value of $14,760. Estimated production is 39,700 units and estimated working hours are 19,900. During 2017, Metlock uses the equipment for 530 hours and the equipment produces 1,000 units.

Compute depreciation expense under each of the following methods. Metlock is on a calendar-year basis ending December 31.

(Round rate per hour and rate per unit to 2 decimal places, e.g. 5.35 and ?nal answers to 0 decimal places, e.g. 45,892.)

(a) Straight-line method for 2017

(b) Activity method (units of output) for 2017

(c) Activity method (working hours) for 2017

(d) Sum-of-the-years‘-digit.s method for 2019

(e) Double-declining-balance method for 2018 

Reference no: EM132316854

Questions Cloud

What is the value of the autonomous tax ta : Consider the following economy Ca = 1800 ; small c is c = 0.8 ; T = 1200 + 0.20 Y; IP = 1800 ; G = 2000; NX = 600 - 0.08 Y.
What are the values of the autonomous net export : What are the values of the autonomous net export NXa and the autonomous taxes Ta (hint: see the formulas and compare)
What do you think they need to improve social media plan : Using the DragonFly 4 Wing Strategy, find a business you think has been unsuccessful in their social media marketing plan. Why do you think the business.
Discussion about the social media marketing plan : Continuing with the business you have created to base your Social Media Marketing Plan upon, create and post one message, on each of the four platforms selected
Compute depreciation expense under straight-line method : Metlock Company purchased equipment for $258,915 on October 1, 2017. It is estimated that the equipment will have a useful life of 8 years.
Employees feel empowerment in the workplace : Employers that empower their employees tend to have loyal hard working employees that project a more positive attitude.
Technological advancements and social media : List three reasons why we need and why we don't need social capital given the rise in recent technological advancements and social media.
What problem does the product solve : Is there a market need that is not being met by the current product or brand offerings? What problem does the product solve?
Maximum price dylan is willing to pay for peanuts : Dylan offers his personal preference as a suggestion, so what is the maximum price Dylan is willing to pay for peanuts?

Reviews

Write a Review

Financial Management Questions & Answers

  Company disbursement float-collection float and net float

If the collected funds were available in one day instead of two, what would be the company's disbursement float, collection float, and net float?

  Numerous corporate scandals occurred in the decade leading

Numerous corporate scandals occurred in the decade leading up to the financial crisis that began in 2007 and lasted into 2009.

  What is the debt holders required rate of return

The firm has bonds outstanding that mature in four years. The par value of each bond is $1000, the coupon rate is 8%, paid annually, and the current price is $988. The firm’s tax rate is 40%. What is the debt holder’s required rate of return?

  Deciding between purchasing house and renting

A couple is deciding between purchasing a house and renting. if the interest rate is 12% per year, compounded monthly?

  What would be the time adjustment in sale comparison grid

what would be the time adjustment in the sale comparison grid? Hint: the question asks you for the adjustment amount, NOT the adjusted sale price.

  Assuming a forecast bias of costs and cash flows

RV Ventures has designed a new fuel efficient motor for their deluxe RV. Product development will continue for the next four years at an estimated cost of $250,000 annually, with the first payment to be made immediately. Assuming a forecast bias of +..

  Company cost of equity will remain unchanged

You can assume that the company’s cost of equity will remain unchanged

  Find the projects average accounting return

The plant has an installation cost of $21.8 million, which will be depreciated straight-line to zero over its four-year life.

  Mutually exclusive investments

You have a choice between two mutually exclusive investments. Project A requires initial cash outlay of $150,000 and has projected cash flows of $100,000 for year one, $55,000 for year two, and $30,000 for year three. Calculate the ordinary payback p..

  Acme in order to make you indifferent to switching

What is the minimum stated interest rate you should ask for from Acme in order to make you indifferent to switching?

  Depositor receive when the second term deposit matures

what amount will the depositor receive when the second term deposit matures?

  Calculate the required return on common stock

calculate the required return on King Farm Manufacturing’s common stock.

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: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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