22. A metal product company has decided to purchase a new cutting equipment forP100,000. This equipment will bekept for 10 years before being sold. Its estimated salvage value at the time is expected to be P 5,000. Using thestraight line method, the depreciation on the equipment over its depreciable life is:Answer is Blank 1 pesos.Note: Do not put comma, unit of measure and limit your answer to two decimal places. Ex: 1234.56

Solution Given Cost of asset 100000 Life 10 years Salvage value 5000 Method…

A metal product company has decided to purchase a new cutting equipment forP100,000. This equipme kept for 10 years before being sold. Its estimated salvage value at the time is expected to be P 5,000. Usi straight line method, the depreciation on the equipment over its depreciable life is: Answer is Blank 1 pesos. Note: Do not put comma, unit of measure and limit your answer to two decimal places. Ex: 1234.56

A metal product company has decided to purchase a new cutting equipment forP100,000. This equipme kept for 10 years before being sold. Its estimated salvage value at the time is expected to be P 5,000. Usi straight line method, the depreciation on the equipment over its depreciable life is: Answer is Blank 1 pesos. Note: Do not put comma, unit of measure and limit your answer to two decimal places. Ex: 1234.56

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter11: Depreciation, Depletion, Impairment, And Disposal

Section: Chapter Questions

Problem 3RE: Albany Corporation purchased equipment at the beginning of Year 1 for 75,000. The asset does not...

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Dunedin Drilling Company recently acquired a new machine at a cost of 350,000. The machine has an estimated useful life of four years or 100,000 hours, and a salvage value of 30,000. This machine will be used 30,000 hours during Year 1, 20,000 hours in Year 2, 40,000 hours in Year 3, and 10,000 hours in Year 4. Dunedin buys equipment frequently and wants to print a depreciation schedule for each assets life. Review the worksheet called DEPREC that follows these requirements. Since some assets acquired are depreciated by straight-line, others by units of production, and others by double-declining balance, DEPREC shows all three methods. You are to use this worksheet to prepare depreciation schedules for the new machine.