Homework Help is Here – Start Your Trial Now!
Business
Accounting
An engineer bought an equipment for P 500,000.00. He spent an additional amount of P 30,000 for installation and other expenses.   The salvage value is 10% of the initial first cost.   Life = 15 years. Compute the following: (a) Annual Depreciation. (b) Book Value after 6 years. (c) Total depreciation after 10 years. Answers: a. 31,800  b. 339,200   c. 318,000 show complete solution with formulas please using depreciation straight line method

An engineer bought an equipment for P 500,000.00. He spent an additional amount of P 30,000 for installation and other expenses.   The salvage value is 10% of the initial first cost.   Life = 15 years. Compute the following: (a) Annual Depreciation. (b) Book Value after 6 years. (c) Total depreciation after 10 years. Answers: a. 31,800  b. 339,200   c. 318,000 show complete solution with formulas please using depreciation straight line method

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

An engineer bought an equipment for P 500,000.00. He spent an additional amount of P 30,000 for installation and other expenses.   The salvage value is 10% of the initial first cost.   Life = 15 years. Compute the following: (a) Annual Depreciation. (b) Book Value after 6 years. (c) Total depreciation after 10 years.

Answers: a. 31,800  b. 339,200   c. 318,000

show complete solution with formulas please using depreciation straight line method

Expert Solution
steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS