Current Attempt in Progress The cost of equipment purchased by Bonita, Inc., on June 1, 2020, is $119,700. It is estimated that the machine will have a $10,500 salvage value at the end of its service life. Its service life is estimated at 7 years, its total working hours are estimated at 54,600, and its total production is estimated at 728,000 units. During 2020, the machine was operated 6,600 hours and produced 60,500 units. During 2021, the machine was operated 6,050 hours and produced 52,800 units. Compute depreciation expense on the machine for the year ending December 31, 2020, and the year ending December 31, 2021, using the following methods. (Round depreciation per unit to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 45,892.) (a) Straight-line (b) Units-of-output (c) Working hours (d) Sum-of-the-years'-digits (e) Double-declining-balance (twice the straight-line rate) $ $ $ $ $ 2020 $ $ $ $ $ 2021

Current Attempt in Progress The cost of equipment purchased by Bonita, Inc., on June 1, 2020, is $119,700. It is estimated that the machine will have a $10,500 salvage value at the end of its service life. Its service life is estimated at 7 years, its total working hours are estimated at 54,600, and its total production is estimated at 728,000 units. During 2020, the machine was operated 6,600 hours and produced 60,500 units. During 2021, the machine was operated 6,050 hours and produced 52,800 units. Compute depreciation expense on the machine for the year ending December 31, 2020, and the year ending December 31, 2021, using the following methods. (Round depreciation per unit to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 45,892.) (a) Straight-line (b) Units-of-output (c) Working hours (d) Sum-of-the-years'-digits (e) Double-declining-balance (twice the straight-line rate) $ $ $ $ $ 2020 $ $ $ $ $ 2021

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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