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Kindly write the attached text in handwriting with writing (Hala Haj Hamad) at the top of the page.

Kindly write the attached text in handwriting with writing (Hala Haj Hamad) at the top of the page.

FINANCIAL ACCOUNTING
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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Kindly write the attached text in handwriting with writing (Hala Haj Hamad) at the top of the page. Thank you
Original Cost = $90,000 Salvage Value = $5000 useful life = 5 years %3D annual depreciation as per straight line method = (Original Cost - Salvage Value)/ Useful Life = (90,000 - 5,000)/5 = $17000 Depreciations schedule under Straight line method: Straight Line Method Depreciation Accumulated Depreciation Ending Value 17000 34000 Year Beginning Value 1 90000 17000 73000 2 73000 17000 56000 3 56000 17000 51000 39000 39000 22000 17000 68000 22000 5 17000 85000 5000 Depreciable value under Units of Activity method = Original Cost - Salvage Value = 90,000 - 5000 = $85,000 %3D Units of Activity Method Year Activity Beginning Value Depreciation Accumulated Depreciation Ending Value 1600 90000 13600 13600 76400 2200 76400 18700 32300 57700 3 2400 57700 20400 52700 37300 4 1800 37300 15300 68000 22000 2000 10000 5 22000 17000 85000 5000 85000
Transcribed Image Text:Original Cost = $90,000 Salvage Value = $5000 useful life = 5 years %3D annual depreciation as per straight line method = (Original Cost - Salvage Value)/ Useful Life = (90,000 - 5,000)/5 = $17000 Depreciations schedule under Straight line method: Straight Line Method Depreciation Accumulated Depreciation Ending Value 17000 34000 Year Beginning Value 1 90000 17000 73000 2 73000 17000 56000 3 56000 17000 51000 39000 39000 22000 17000 68000 22000 5 17000 85000 5000 Depreciable value under Units of Activity method = Original Cost - Salvage Value = 90,000 - 5000 = $85,000 %3D Units of Activity Method Year Activity Beginning Value Depreciation Accumulated Depreciation Ending Value 1600 90000 13600 13600 76400 2200 76400 18700 32300 57700 3 2400 57700 20400 52700 37300 4 1800 37300 15300 68000 22000 2000 10000 5 22000 17000 85000 5000 85000
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