E9-9 (Algo) Computing Depreciation under Alternative Methods [LO 9-3] Sonic Corporation purchased and installed electronic payment equipment at its drive-in restaurants in San Marcos, TX, at a cost of $54,000. The equipment has an estimated residual value of $2,700. The equipment is expected to process 271,000 payments over its three-year useful life. Per year, expected payment transactions are 65,040, year 1; 149,050, year 2; and 56,910, year 3. Required: Complete a depreciation schedule for each of the alternative methods. 1. Straight-line. 2. Units-of-production. 3. Double-declining-balance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete a depreciation schedule for the double-declining-balance method. (Do not round intermediate calculations.) Income Statement Balance Sheet Year Depreciation Expense Cost Accumulated Depreciation Book Value At acquisition 1 $ 2 3 68,148 $ ☑ $ 54,000 $ 68,148 54,000 ☑ × > $ 54,000 < Required 2 × × × × Required 3 >
E9-9 (Algo) Computing Depreciation under Alternative Methods [LO 9-3] Sonic Corporation purchased and installed electronic payment equipment at its drive-in restaurants in San Marcos, TX, at a cost of $54,000. The equipment has an estimated residual value of $2,700. The equipment is expected to process 271,000 payments over its three-year useful life. Per year, expected payment transactions are 65,040, year 1; 149,050, year 2; and 56,910, year 3. Required: Complete a depreciation schedule for each of the alternative methods. 1. Straight-line. 2. Units-of-production. 3. Double-declining-balance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete a depreciation schedule for the double-declining-balance method. (Do not round intermediate calculations.) Income Statement Balance Sheet Year Depreciation Expense Cost Accumulated Depreciation Book Value At acquisition 1 $ 2 3 68,148 $ ☑ $ 54,000 $ 68,148 54,000 ☑ × > $ 54,000 < Required 2 × × × × Required 3 >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![E9-9 (Algo) Computing Depreciation under Alternative Methods [LO 9-3]
Sonic Corporation purchased and installed electronic payment equipment at its drive-in restaurants in San Marcos, TX, at a cost of
$54,000. The equipment has an estimated residual value of $2,700. The equipment is expected to process 271,000 payments over its
three-year useful life. Per year, expected payment transactions are 65,040, year 1; 149,050, year 2; and 56,910, year 3.
Required:
Complete a depreciation schedule for each of the alternative methods.
1. Straight-line.
2. Units-of-production.
3. Double-declining-balance.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Complete a depreciation schedule for the double-declining-balance method. (Do not round intermediate calculations.)
Income
Statement
Balance Sheet
Year
Depreciation
Expense
Cost
Accumulated
Depreciation
Book
Value
At
acquisition
1
$
2
3
68,148 $
☑ $
54,000
$ 68,148
54,000
☑
×
> $ 54,000
< Required 2
× × × ×
Required 3 >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1d0fd8f0-0638-4656-abc7-d57510d20378%2Fd7b4ba9c-ecde-42f2-9dcf-303030098694%2Fybtktv8_processed.jpeg&w=3840&q=75)
Transcribed Image Text:E9-9 (Algo) Computing Depreciation under Alternative Methods [LO 9-3]
Sonic Corporation purchased and installed electronic payment equipment at its drive-in restaurants in San Marcos, TX, at a cost of
$54,000. The equipment has an estimated residual value of $2,700. The equipment is expected to process 271,000 payments over its
three-year useful life. Per year, expected payment transactions are 65,040, year 1; 149,050, year 2; and 56,910, year 3.
Required:
Complete a depreciation schedule for each of the alternative methods.
1. Straight-line.
2. Units-of-production.
3. Double-declining-balance.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Complete a depreciation schedule for the double-declining-balance method. (Do not round intermediate calculations.)
Income
Statement
Balance Sheet
Year
Depreciation
Expense
Cost
Accumulated
Depreciation
Book
Value
At
acquisition
1
$
2
3
68,148 $
☑ $
54,000
$ 68,148
54,000
☑
×
> $ 54,000
< Required 2
× × × ×
Required 3 >
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