Pharoah Ltd. purchased a new machine on April 4, 2017, at a cost of $164,000. The company estimated that the machine would have a residual value of $14,000. The machine is expected to be used for 10,000 working hours during its four-year life. Actual machine usage was 1,600 hours in 2017: 2.100 hours in 2018; 2,500 hours in 2019: 2,000 hours in 2020; and 1,800 hours in 2021. Pharoah has a December 31 year end. (a) Your answer is partially correct. Calculate depreciation for the machine under each of the following methods: (Round expense per unit to 2 decimal places, eg. 2.75 and final answers to 0 decimal places, e.g. 5,275.) (1) Straight-line for 2017 through to 2021. SUP

Pharoah Ltd. purchased a new machine on April 4, 2017, at a cost of $164,000. The company estimated that the machine would have a residual value of $14,000. The machine is expected to be used for 10,000 working hours during its four-year life. Actual machine usage was 1,600 hours in 2017: 2.100 hours in 2018; 2,500 hours in 2019: 2,000 hours in 2020; and 1,800 hours in 2021. Pharoah has a December 31 year end. (a) Your answer is partially correct. Calculate depreciation for the machine under each of the following methods: (Round expense per unit to 2 decimal places, eg. 2.75 and final answers to 0 decimal places, e.g. 5,275.) (1) Straight-line for 2017 through to 2021. SUP

Name: Pharoah Ltd. purchased a new machine on April 4, 2017, at a cost of $
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Description: Pharoah Ltd. purchased a new machine on April 4, 2017, at a cost of $164,000. The company estimated that the machine would have aresidual value of $14,000. The machine is expected to be used for 10,000 working hours during its four-year life. Actual

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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