**Apex Fitness Club Depreciation Calculation**Apex Fitness Club employs straight-line depreciation for a machine that initially costs $29,750. The machine has an estimated useful life of four years and a projected salvage value of $2,600. At the start of the third year, Apex reassesses and estimates that the machine will last an additional three years, with an updated salvage value of $2,150.**Requirements:**1. Compute the machine's book value at the end of its second year.2. Calculate the depreciation amount for each of the final three years based on the revised estimates.**Instructions:**Enter your answers in the tabs provided.**Computation Section:***Compute the machine’s book value at the end of its second year.*- **Book Value at the End of Year 2:** - **Cost:** [Enter value] - **Accumulated depreciation 2 years:** [Enter value] - **Book value at point of revision:** [Enter value]Use the "Required 2" tab to proceed with the next computations.

Name: **Apex Fitness Club Depreciation Calculation**Apex Fitness Club emplo
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Description: **Apex Fitness Club Depreciation Calculation**Apex Fitness Club employs straight-line depreciation for a machine that initially costs $29,750. The machine has an estimated useful life of four years and a projected salvage value of $2,600. At the sta

Depreciation: It implies to a fall or reduction in the fixed asset's value over its useful life, as a result of using in production's process, normal tear and wear, etc. 1. Calculation of the book value of machine at the closing of second year, as follows: Result of the above:2. Calculation of the depreciation expense for the revised periods, as follows: Result of the above:

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Apex Fitness Club uses straight-line depreciation for a machine costing $29,750, with an estimated four-year life and a $2,600 salvage value. At the beginning of the third year, Apex determines that the machine has three more years of remaining useful life, after which it will have an estimated $2,150 salvage value. Required: 1. Compute the machine's book value at the end of its second year. 2. Compute the amount of depreciation for each of the final three years given the revised estimates. Complete this question by entering your answers In the tabs below. Required 1 Required 2 Compute the machine's book value at the end of its second year. Book Value at the End of Year 2: Cost Accumulated depreciation 2 years Book value at point of revision Required 2 >

Apex Fitness Club uses straight-line depreciation for a machine costing $29,750, with an estimated four-year life and a $2,600 salvage value. At the beginning of the third year, Apex determines that the machine has three more years of remaining useful life, after which it will have an estimated $2,150 salvage value. Required: 1. Compute the machine's book value at the end of its second year. 2. Compute the amount of depreciation for each of the final three years given the revised estimates. Complete this question by entering your answers In the tabs below. Required 1 Required 2 Compute the machine's book value at the end of its second year. Book Value at the End of Year 2: Cost Accumulated depreciation 2 years Book value at point of revision Required 2 >

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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