Jenkins, Inc. builds custom machines for manufacturers using robotic equipment. In 2022, the company decided to change from straight-line to double-declining balance depreciation for its robotic equipment. It changed the life expectancy as follows: Original cost of robotic equipment $2,500,000 Accumulated depreciation thru 2021 780,000 Original life in years 8 Remaining life in years 4 Determine the correct amount of depreciation to expense for 2022. Group of answer choices $390,000 $312,500 $430,000 $860,000
Jenkins, Inc. builds custom machines for manufacturers using robotic equipment. In 2022, the company decided to change from straight-line to double-declining balance depreciation for its robotic equipment. It changed the life expectancy as follows: Original cost of robotic equipment $2,500,000 Accumulated depreciation thru 2021 780,000 Original life in years 8 Remaining life in years 4 Determine the correct amount of depreciation to expense for 2022. Group of answer choices $390,000 $312,500 $430,000 $860,000
Chapter10: Capital Budgeting: Decision Criteria And Real Option
Section: Chapter Questions
Problem 17P
Related questions
Question
Jenkins, Inc. builds custom machines for manufacturers using robotic equipment. In 2022, the company decided to change from straight-line to double-declining balance depreciation for its robotic equipment. It changed the life expectancy as follows:
Determine the correct amount of depreciation to expense for 2022.
| Original cost of robotic equipment | $2,500,000 |
| 780,000 | |
| Original life in years | 8 |
| Remaining life in years | 4 |
Determine the correct amount of depreciation to expense for 2022.
Group of answer choices
$390,000
$312,500
$430,000
$860,000
AI-Generated Solution
AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.
Unlock instant AI solutions
Tap the button
to generate a solution
Recommended textbooks for you
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning