Assume that the equipment consists of an input device with a cost of $60,000, residual value of $5,000, and useful life of 5 years; a processor with a cost of $140,000, residual value of $10,000, and useful life of 10 years; and an output device with a cost of $231,000, residual value of $22,000, and useful life of 12 years. The equipment is expected to provide benefits evenly over time. Also assume that the equipment has a salvage value of $30,000 and a physical life of 14 years. The salvage values of the input device, processor, and output device are $3,000, $8,000, and $19,000, respectively. The physical lives of the input device, processor, and output device are 6 years, 12 years, and 14 years, respectively

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Assume that the equipment consists of an input device with a cost of $60,000, residual value of $5,000, and useful life of 5 years; a processor with a cost of $140,000, residual value of $10,000, and useful life of 10 years; and an output device with a cost of $231,000, residual value of $22,000, and useful life of 12 years. The equipment is expected to provide benefits evenly over time. Also assume that the equipment has a salvage value of $30,000 and a physical life of 14 years. The salvage values of the input device, processor, and output device are $3,000, $8,000, and $19,000, respectively. The physical lives of the input device, processor, and output device are 6 years, 12 years, and 14 years, respectively. Calculate the amount of depreciation for 2020, 2021, and 2022 using the straight-line method. Crane Company Ltd. prepares financial statements under ASPE. (Round answer to 0 decimal places, e.g. 5,275.)

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