Homework Help is Here – Start Your Trial Now!
Business
Accounting
initial book value $ n residual value $ years years 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ annual depreciation cumulative depreciation BV 3,000,000 4 $ 5 $ 12 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ 16.67% 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ annual depreciation cumulative depreciation BV 1 $ 500,000.00 $ 2 $ 416,666.67 $ 3 $ 347,222.22 $ 289,351.85 $ 241,126.54 $ 200,938.79 $ 167,448.99 $ 139,540.82 $ 116,284.02 $ 96,903.35 $ 80,752.79 $ 67,293.99 $ 250,000 $ 2,750,000 500,000 $2,500,000 750,000 $2,250,000 1,000,000 $2,000,000 1,250,000 $1,750,000 1,500,000 $ 1,500,000 1,750,000 $1,250,000 2,000,000 $1,000,000 2,250,000 $ 750,000 500,000 250,000 2,500,000 $ 2,750,000 $ 3,000,000 $ . 500,000.00 $2,500,000.00 916,666.67 $2,083,333.33 1,263,888.89 $1,736,111.11 1,553,240.74 $1,446,759.26 1,794,367.28 $1,205,632.72 1,995,306.07 $1,004,693.93 2,162,755.06 $ 837,244.94 2,302,295.88 $ 697,704.12 2,418,579.90 $ 581,420.10 2,515,483.25 $ 484,516.75 2,596,236.04 $ 403,763.96 2,663,530.04 $ 336,469.96 PART 1 Create two depreciation schedules (straight-line and double-declining) for the scenario below. Make sure to include annual depreciation, cumulative depreciation, and Book Value for the end of each year. The XYZ Corp. purchased machinery for $3,000,000 and residual value of $600,000. There is a 12-year useful life. Part 2 Now, re-calculate the two depreciation schedules (assuming a $0.00 residual value).

initial book value $ n residual value $ years years 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ annual depreciation cumulative depreciation BV 3,000,000 4 $ 5 $ 12 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ 16.67% 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ annual depreciation cumulative depreciation BV 1 $ 500,000.00 $ 2 $ 416,666.67 $ 3 $ 347,222.22 $ 289,351.85 $ 241,126.54 $ 200,938.79 $ 167,448.99 $ 139,540.82 $ 116,284.02 $ 96,903.35 $ 80,752.79 $ 67,293.99 $ 250,000 $ 2,750,000 500,000 $2,500,000 750,000 $2,250,000 1,000,000 $2,000,000 1,250,000 $1,750,000 1,500,000 $ 1,500,000 1,750,000 $1,250,000 2,000,000 $1,000,000 2,250,000 $ 750,000 500,000 250,000 2,500,000 $ 2,750,000 $ 3,000,000 $ . 500,000.00 $2,500,000.00 916,666.67 $2,083,333.33 1,263,888.89 $1,736,111.11 1,553,240.74 $1,446,759.26 1,794,367.28 $1,205,632.72 1,995,306.07 $1,004,693.93 2,162,755.06 $ 837,244.94 2,302,295.88 $ 697,704.12 2,418,579.90 $ 581,420.10 2,515,483.25 $ 484,516.75 2,596,236.04 $ 403,763.96 2,663,530.04 $ 336,469.96 PART 1 Create two depreciation schedules (straight-line and double-declining) for the scenario below. Make sure to include annual depreciation, cumulative depreciation, and Book Value for the end of each year. The XYZ Corp. purchased machinery for $3,000,000 and residual value of $600,000. There is a 12-year useful life. Part 2 Now, re-calculate the two depreciation schedules (assuming a $0.00 residual value).

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
initial book value $ n residual value $ years years 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ annual depreciation cumulative depreciation BV 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 3,000,000 9 $ 10 $ 12 11 $ 12 $ 16.67% annual depreciation cumulative depreciation BV 500,000.00 $ 416,666.67 $ 347,222.22 $ 289,351.85 $ 241,126.54 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 2,750,000 500,000 $ 2,500,000 750,000 $ 2,250,000 1,000,000 $ 2,000,000 1,250,000 $ 1,750,000 1,500,000 1,250,000 1,000,000 750,000 500,000 250,000 1,500,000 $ 1,750,000 $ 2,000,000 $ 2,250,000 $ 2,500,000 $ 2,750,000 $ 3,000,000 $ 200,938.79 $ 167,448.99 $ 139,540.82 $ 116,284.02 $ 96,903.35 $ 80,752.79 $ 67,293.99 $ - 500,000.00 $2,500,000.00 916,666.67 $2,083,333.33 1,263,888.89 $1,736,111.11 1,553,240.74 $1,446,759.26 1,794,367.28 $ 1,205,632.72 1,995,306.07 $1,004,693.93 2,162,755.06 $ 837,244.94 2,302,295.88 $ 697,704.12 2,418,579.90 $ 581,420.10 2,515,483.25 $ 484,516.75 2,596,236.04 $ 403,763.96 2,663,530.04 $ 336,469.96 PART 1 Create two depreciation schedules (straight-line and double-declining) for the scenario below. Make sure to include annual depreciation, cumulative depreciation, and Book Value for the end of each year. The XYZ Corp. purchased machinery for $3,000,000 and residual value of $600,000. There is a 12-year useful life. Part 2 Now, re-calculate the two depreciation schedules (assuming a $0.00 residual value).
Transcribed Image Text:initial book value $ n residual value $ years years 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ annual depreciation cumulative depreciation BV 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 3,000,000 9 $ 10 $ 12 11 $ 12 $ 16.67% annual depreciation cumulative depreciation BV 500,000.00 $ 416,666.67 $ 347,222.22 $ 289,351.85 $ 241,126.54 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 2,750,000 500,000 $ 2,500,000 750,000 $ 2,250,000 1,000,000 $ 2,000,000 1,250,000 $ 1,750,000 1,500,000 1,250,000 1,000,000 750,000 500,000 250,000 1,500,000 $ 1,750,000 $ 2,000,000 $ 2,250,000 $ 2,500,000 $ 2,750,000 $ 3,000,000 $ 200,938.79 $ 167,448.99 $ 139,540.82 $ 116,284.02 $ 96,903.35 $ 80,752.79 $ 67,293.99 $ - 500,000.00 $2,500,000.00 916,666.67 $2,083,333.33 1,263,888.89 $1,736,111.11 1,553,240.74 $1,446,759.26 1,794,367.28 $ 1,205,632.72 1,995,306.07 $1,004,693.93 2,162,755.06 $ 837,244.94 2,302,295.88 $ 697,704.12 2,418,579.90 $ 581,420.10 2,515,483.25 $ 484,516.75 2,596,236.04 $ 403,763.96 2,663,530.04 $ 336,469.96 PART 1 Create two depreciation schedules (straight-line and double-declining) for the scenario below. Make sure to include annual depreciation, cumulative depreciation, and Book Value for the end of each year. The XYZ Corp. purchased machinery for $3,000,000 and residual value of $600,000. There is a 12-year useful life. Part 2 Now, re-calculate the two depreciation schedules (assuming a $0.00 residual value).
Expert Solution
steps

Step by step

Solved in 5 steps with 8 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS