Calculate the Depreciation ForMachinery 20x1 Machinery 20x2 Machinery 20x3 Book Depreciation Schedule (Straight-line):20x020x120x220x3CostExpenseA/DExpenseA/DExpenseA/DExpenseA/DOriginal machinery200,00028,572 100,00228,572 128,57428,572157,14628,572 185,7187-year useful lifeS/L, Mid-year conventionMachinery 20x1100,000Machinery 20x2100,000Zero Salvage valueMachinery 20x3100,000TOTAL28,572 100,00228,572 128,57428,572 157,14628,572 185,718

Depreciation expense: Depreciation expense is the reduction in the particular asset due to its use…

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Business

Accounting

Calculate the Depreciation For Machinery 20x1 Machinery 20x2 Machinery 20x3

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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Question

Calculate the Depreciation
For

Machinery 20x1

Machinery 20x2

Machinery 20x3

Book Depreciation Schedule (Straight-line):
20x0
20x1
20x2
20x3
Cost
Expense
A/D
Expense
A/D
Expense
A/D
Expense
A/D
Original machinery
200,000
28,572 100,002
28,572 128,574
28,572
157,146
28,572 185,718
7-year useful life
S/L, Mid-year convention
Machinery 20x1
100,000
Machinery 20x2
100,000
Zero Salvage value
Machinery 20x3
100,000
TOTAL
28,572 100,002
28,572 128,574
28,572 157,146
28,572 185,718

Definition Video Definition Accounting method wherein the cost of a tangible asset is spread over the asset's useful life. Depreciation usually denotes how much of the asset's value has been used up and is usually considered an operating expense. Depreciation occurs through normal wear and tear, obsolescence, accidents, etc. Video

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