a. Determine the amount of annual depreciation by the straight-line method. Round your answer to the nearest dollar. %24 b. Determine the amount of depreciation for the first and second years computed by the double-declining-balance method. Do not round the double- declining balance rate. Round your answers to the nearest dollar. Depreciation Year 1 %24 Year 2 %24

a. Determine the amount of annual depreciation by the straight-line method. Round your answer to the nearest dollar. %24 b. Determine the amount of depreciation for the first and second years computed by the double-declining-balance method. Do not round the double- declining balance rate. Round your answers to the nearest dollar. Depreciation Year 1 %24 Year 2 %24

Name: **Depreciation by Two Methods**A storage tank acquired at the beginni
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Description: **Depreciation by Two Methods**A storage tank acquired at the beginning of the fiscal year at a cost of $136,800 has an estimated residual value of $12,000 and an estimated useful life of 25 years. This information has been collected in the Microsof

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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Depreciation Methods On January 2, Skyler, Inc. purchased a laser cutting machine to be used in the fabrication of a part for one of its key products. The machine cost $90,000, and its estimated useful life was four years or 850,000 cuttings, after which it could be sold for $5,000. Required a. Calculate each year's depreciation expense for the machine's useful life under each of the following depreciation methods (round all answers to the nearest dollar): 1. Straight-line. 2. Double-declining balance. 3. Units-of-production. (Assume annual production in cuttings of 200,000; 350,000; 260,000; and 40,000.) 1. Straight-Line Depreciation Year Expense Year 1 $ Year 2 Year 3 Year 4 2. Double-declining balance Depreciation Expense Year Year 1 Year 2 Year 3 Year 4 Year 5 $ 3. Units of Production
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Depreciation by Two Methods A storage tank acquired at the beginning of the fiscal year at a cost of $115,200 has an estimated residual value of $6,800 and an estimated useful life of four years. a. Determine the amount of annual depreciation by the straight-line method.$fill in the blank 1 b. Determine the amount of depreciation for the first and second years computed by the double-declining-balance method. Do not round the double-declining balance rate. If required, round your answers to the nearest dollar. Depreciation Year 1 $fill in the blank 2 Year 2 $fill in the blank 3
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Complete the Sum of depreation Useful 8 учет Sum of Sum of years digits method of Depreciation Rate Year 1 Year 3 A 个 Fraction Year 5 ↑
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