A precision manufacturing machine was purchased for $92,500 with an estimated useful life of 8 years and a salvage value of $20,400. Calculate the annual depreciation expense using the straight-line depreciation method. Round the answer to the nearest whole dollar.
Q: ??
A: Explanation of Operating Leverage: Operating leverage is a measure of how changes in sales volume…
Q: Kindly help me with general accounting question
A: Step 1: Definition of Overhead RateThe overhead rate is a percentage that represents the ratio of…
Q: Question
A: Concept of Financing ActivitiesFinancing activities refer to transactions that involve raising…
Q: Please give me answer general accounting question
A: Step 1: Calculate Net IncomeStep 2: Apply the ROA formula
Q: None
A: Calculate the total amount paid:Multiply the monthly payment by the number of months:Given:Michael's…
Q: correct options is answer accounting questions
A: Step 1: Definition of Average Cost Per UnitThe average cost per unit is calculated by dividing the…
Q: Daisy Inc., wants to make a profit of $25,000. It has variable costs of $80 per unit and fixed costs…
A: To determine the selling price per unit, we need to calculate the total revenue required to cover…
Q: Quick answer of this accounting questions
A: Step 1: Definition of Return on Equity (ROE)Return on Equity (ROE) is a financial metric that…
Q: What was the net income from operations?
A: Explanation of Net Sales: Net sales represents the total revenue generated from the company's…
Q: Accurate answer
A: Explanation of Differential Cost:Differential cost refers to the additional cost incurred when…
Q: What is the depreciable based of the machine?
A: Step 1: IntroductionThe depreciable base represents the portion of the asset's cost that will be…
Q: What is the initial markup percentage?
A: Step 1: Definition of Initial Markup Percentage Initial markup percentage is the percentage added to…
Q: What is their return on capital employed on these financial accounting question?
A: Step 1: Define Return on Capital Employed (ROCE)Return on Capital Employed (ROCE) is a financial…
Q: Question
A: The **cash flow to shareholders** (CFS) is calculated as:CFS=Dividends Paid−Net New Equity Raised…
Q: I don't know answer please help me this question solution
A: Apply the Formula% Change in Operating Income = 2.8 * 18% % Change in Operating Income = 50.4%…
Q: Hello tutor please help me with accounting questions
A: Step 1: Definition of Initial Markup PercentageThe initial markup percentage represents the…
Q: Hy expert give me solution
A: Step 1: Definition of Predetermined Overhead RateThe Predetermined Overhead Rate (POHR) is a rate…
Q: Hello teacher please help me this question solution
A: Step 1:Given,Expected sales, Next year: $650,000Pretax profit margin: 7% (or) 0.07Average tax rate:…
Q: Glendale Manufact has a profit margin
A: The Sustainable Growth Rate (SGR) is calculated using the formula:SGR=ROE×(1−Dividend Payout Ratio)…
Q: general accounting
A: Step 1: Define Cost of Goods Sold (COGS)Cost of Goods Sold (COGS) refers to the direct costs of…
Q: Need solution
A:
Q: Answer?
A: Concept of Sales RevenueSales Revenue is the total amount a company earns from selling its goods or…
Q: Need correct answer general accounting question
A: Step 1: Define Cash-Based Cost of Goods SoldCash-based COGS represents the actual cash paid for…
Q: Do fast answer of this accounting questions
A: Step 1: Definition of Return on Investment (ROI)Return on Investment (ROI) measures the efficiency…
Q: What is the firms cash conversion cycle?
A: Step 1: Given Value for Calculation Inventory Conversion Period = 55 daysReceivables Collection…
Q: Regal Properties (RP) just acquired land and a building for a single sum of $500,000. An independent…
A: Explanation of Lump-Sum Purchase Allocation:A lump-sum purchase allocation occurs when multiple…
Q: What is the value of beginning inventory?
A: Step 1: Definition of Beginning InventoryBeginning inventory is the value of stock available at the…
Q: Provide correct answer this general accounting question
A: Step 1: Define Net IncomeNet income represents a company's total earnings after deducting all…
Q: I want to correct answer general accounting question
A: Step 1: Definition of Return on Equity (ROE)Return on Equity (ROE) is a measure of financial…
Q: General accounting
A: Step 1: Analysis of information givenFinal Value of deposit = $579.64Annual interest rate (r) = 6%…
Q: what was the cost of goods sold for the year?
A: Step 1:The cost of goods sold can be calculated by adding the Beginning Finished goods inventory and…
Q: What is each partner adjusted basis at the end of the year ?
A: Step 1: Definition of Adjusted Basis in a PartnershipA partner's adjusted basis represents their…
Q: Question:25
A: Change in long term debt = Long term debt in 2021-Long term debt 2020Change in long term debt = 5.1…
Q: Provide Answer
A: Concept of Contribution MarginContribution margin is the amount remaining from sales revenue after…
Q: help this final answer.
A: Step 1: Definition of Built-in Gains TaxWhen a C corporation converts to an S corporation, it may be…
Q: Please provide accurate answer
A: Explanation of Inventory Conversion Period: The inventory conversion period measures how long it…
Q: Determine the missing value
A: Step 1: Definition of Accounting EquationThe Accounting Equation is the foundation of double-entry…
Q: Please solve this problem general Accounting question
A: Step 1: Define Coupon LiabilityA coupon liability represents the estimated future obligation for…
Q: expert of account answer
A: Step 1: Definition of Applied OverheadApplied overhead is an estimated allocation of indirect costs…
Q: hello tutor please help me
A: Step 1: Definition of GoodwillGoodwill is an intangible asset representing the value of a firm's…
Q: Answer? Financial accounting question
A: Step 1: Define Conversion PriceThe conversion price is the stock price at which a convertible…
Q: Give me total earnings . Provide answer
A: Step 1: Definition of Total EarningsTotal earnings refer to the company's total income, including…
Q: Hi experts please provide answer this financial accounting question
A: Step 1: Definition of Return on Equity (ROE) and DuPont FormulaThe Return on Equity (ROE) is a…
Q: Answer? ? Financial accounting question
A: Step 1: Define Material Price VarianceMaterial price variance measures the difference between the…
Q: Accounting question
A: Question :1 : Solution Step 1: Definition of Warranty LiabilityWarranty liability represents the…
Q: At what amounts should each of the three assists be recorded?
A: Concept of Land: Land is a tangible, long-term asset that represents the physical ground owned by a…
Q: A product has a selling price of $63, variable costs of $55, and fixed costs are $72,000. How many…
A: Step 1: Units must be sold to break even can be calculated by dividing the fixed cost by the…
Q: financial account
A: Formula for Degree of Operating Leverage (DOL):DOL=Operating ProfitContribution Margin where:…
Q: Raw materials purchased during the year amount to
A: Step 1: Information givenRaw Materials Used = $950,000Beginning Raw Materials Inventory =…
Q: None
A: Concept of Overhead Application RateThe Overhead Application Rate is a predetermined rate used to…
Accounting question
Step by step
Solved in 2 steps
- When depreciation is recorded each period, what account is debited? a. Depreciation Expense b. Cash c. Accumulated Depreciation d. The fixed asset account involved Use the following information for Multiple-Choice Questions 7-4 through 7-6: Cox Inc. acquired a machine for on January 1, 2019. The machine has a salvage value of $20,000 and a 5-year useful life. Cox expects the machine to run for 15,000 machine hours. The machine was actually used for 4,200 hours in 2019 and 3,450 hours in 2020.Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for 125,000 miles. Montello uses the units-of-production depreciation method, and in year one it expects to use the truck for 26,000 miles. Calculate the annual depreciation expense.Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for ten years. Montello uses the straight-line depreciation method. Calculate the annual depreciation expense.
- Montello Inc. purchases a delivery truck for $15,000. The truck has a salvage value of $3,000 and is expected to be driven for eight years. Montello uses the straight-line depreciation method. Calculate the annual depreciation expense.Dunedin Drilling Company recently acquired a new machine at a cost of 350,000. The machine has an estimated useful life of four years or 100,000 hours, and a salvage value of 30,000. This machine will be used 30,000 hours during Year 1, 20,000 hours in Year 2, 40,000 hours in Year 3, and 10,000 hours in Year 4. With DEPREC5 still on the screen, click the Chart sheet tab. This chart shows the accumulated depreciation under all three depreciation methods. Identify below the depreciation method that each represents. Series 1 _____________________ Series 2 _____________________ Series 3 _____________________ When the assignment is complete, close the file without saving it again. Worksheet. The problem thus far has assumed that assets are depreciated a full year in the year acquired. Normally, depreciation begins in the month acquired. For example, an asset acquired at the beginning of April is depreciated for only nine months in the year of acquisition. Modify the DEPREC2 worksheet to include the month of acquisition as an additional item of input. To demonstrate proper handling of this factor on the depreciation schedule, modify the formulas for the first two years. Some of the formulas may not actually need to be revised. Do not modify the formulas for Years 3 through 8 and ignore the numbers shown in those years. Some will be incorrect as will be some of the totals. Preview the printout to make sure that the worksheet will print neatly on one page, and then print the worksheet. Save the completed file as DEPRECT. Hint: Insert the month in row 6 of the Data Section specifying the month by a number (e.g., April is the fourth month of the year). Redo the formulas for Years 1 and 2. For the units of production method, assume no change in the estimated hours for both years. Chart. Using the DEPREC5 file, prepare a line chart or XY chart that plots annual depreciation expense under all three depreciation methods. No Chart Data Table is needed; use the range B29 to E36 on the worksheet as a basis for preparing the chart if you prepare an XY chart. Use C29 to E36 if you prepare a line chart. Enter your name somewhere on the chart. Save the file again as DEPREC5. Print the chart.IMPACT OF IMPROVEMENTS AND REPLACEMENTS ON THE CALCULATION OF DEPRECIATION On January 1, 20-1, Dans Demolition purchased two jackhammers for 2,500 each with a salvage value of 100 each and estimated useful lives of four years. On January 1, 20-2, a stronger blade to improve performance was installed in Jackhammer A for 800 cash and the compressor was replaced in Jackhammer B for 200 cash. The compressor is expected to extend the life of Jackhammer B one year beyond the original estimate. REQUIRED 1. Using the straight-line method, prepare general journal entries for depreciation on December 31, 20-1, for Jackhammers A and B. 2. Enter the transactions for January 20-2 in a general journal. 3. Assuming no other additions, improvements, or replacements, calculate the depreciation expense for each jackhammer for 20-2 through 20-4.
- To test your formulas, assume the machine purchased had an estimated useful life of three years (20,000, 30,000, and 50,000 hours, respectively). Enter the new information in the Data Section of the worksheet. Does your depreciation total 320,000 under all three methods? There are three common errors made by students completing this worksheet. Lets clear up two of them. One, an asset that has a three-year life should have no depreciation claimed in Year 4. This can be corrected using an =IF statement in Year 4. For example, the correct formula in cell C32 is =IF(B32D9,0,(D7D8)/D9) or =IF(B32D9, 0, SLN(D7, D8, D9)). You may wish to edit what you have already entered rather than retype it. Two, as mentioned in requirement 2, the double-declining-balance calculation needs to be modified in the last year of the assets life. Assuming you have already modified the formula for Year 4 (per instructions in step 2), alter the formula for Year 3 also. If you corrected any formulas, test their correctness by trying different estimated useful lives (between 3 and 8) in cell E9. Then reset the Data Section to the original values, save the revised file as DEPREC2, and reprint the worksheet to show the correct formulas. The third common error doesnt need to be corrected in this problem. The general form of the double-declining-balance formula needs to be modified to check the net book value of the asset each year to make sure it does not go below salvage value. =DDB does this automatically, but if you are writing your own formulas, this gets very complicated and is beyond the scope of the problem.Copy equipment was acquired at the beginning of the year at a cost of $52,140 that has an estimated residual value of $4,700 and an estimated useful life of 5 years. It is estimated that the machine will output an estimated 1,186,000 copies. This year, 239,000 copies were made. a. Determine the depreciable cost.$fill in the blank 1 b. Determine the depreciation rate. Round your answer to two decimal places.$fill in the blank 2 per copy c. Determine the units-of-output depreciation for the year.$fill in the blank 3Copy equipment was acquired at the beginning of the year at a cost of $25,200 that has an estimated residual value of $2,300 and an estimated useful life of 5 years. It is estimated that the machine will output an estimated 1,145,000 copies. This year, 246,000 copies were made. a. Determine the depreciable cost. b. Determine the depreciation rate. Round your answer to two decimal places. per copy c. Determine the units-of-activity depreciation for the year. LA ?
- Please provide correct answerA piece of equipment is purchased for $110,000 and has an estimated salvage value of $10,000 at the end of the recovery period. Prepare a depreciation schedule for the piece of equipment using the sum-of-the-years method with a recovery period of seven years. Please answer in excel with each cells formula.Copy equipment was acquired at the beginning of the year at a cost of $21,500 that has an estimated residual value of $2,000 and an estimated useful life of 5 years. It is estimated that the machine will output an estimated 975,000 copies. This year, 265,000 copies were made. a. Determine the depreciable cost. $ b. Determine the depreciation rate. Round your answer to two decimal places. $ per copy c. Determine the units-of-activity depreciation for the year.
