A machine costing $209,600 with a four-year life and an estimated $16,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 484,000 units of product during its life. It actually produces the following units: 122,900 in Year 1, 123,100 in Year 2, 120,800 in Year 3, 127,200 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate-this difference was not predicted. (The machine cannot be depreciated below its estimated salvage value.) Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. (Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.) Complete this question by entering your answers in the tabs below. Units of Production Straight Line DDB Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Units of production. Units of Production Depreciable Units Depreciation per unit Depreciation Expense Year Units 122,900 123,100 120,800 4 127,200 Total

A machine costing $209,600 with a four-year life and an estimated $16,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 484,000 units of product during its life. It actually produces the following units: 122,900 in Year 1, 123,100 in Year 2, 120,800 in Year 3, 127,200 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate-this difference was not predicted. (The machine cannot be depreciated below its estimated salvage value.) Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. (Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.) Complete this question by entering your answers in the tabs below. Units of Production Straight Line DDB Compute depreciation for each year (and total depreciation of all years combined) for the machine under the Units of production. Units of Production Depreciable Units Depreciation per unit Depreciation Expense Year Units 122,900 123,100 120,800 4 127,200 Total

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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(2). A machine costing $207,800 with a four-year life and an estimated $17,000 salvage value is installed in Luther Company’s factory on January 1. The factory manager estimates the machine will produce 477,000 units of product during its life. It actually produces the following units: 122,900 in Year 1, 122,900 in Year 2, 121,100 in Year 3, 120,100 in Year 4. The total number of units produced by the end of Year 4 exceeds the original estimate—this difference was not predicted. Note: The machine cannot be depreciated below its estimated salvage value. Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. Note: Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.
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I need help with a case problem. I don't know how to record these entries. 1. Monthly depreciation on the assets: $60 for the Music Instruments, $40 for the Furniture, and $35 for the Computers 2. Music supplies expense 3.The office supplies expense
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