AEC purchased an equipment for its manufacturing plant that costs PHP 3, 750 000 + PHP 10,000 x (01). It is estimated to have a useful life of 20 years; scrap value of PHP 375, 000, production of 12,345,678 + 15,000 x (01) units and working hours of 100,000 + 1,500 hours x (01). The company uses the equipment for 7,884 hours and produced 876,543 units on the first year and 7,883 hours and produced 987,654 units on the second year. Solve for the following: b. Working Hours Method - Total Depreciation after the 1st year - Book value at the end of the 2nd year
AEC purchased an equipment for its manufacturing plant that costs PHP 3, 750 000 + PHP 10,000 x (01). It is estimated to have a useful life of 20 years; scrap value of PHP 375, 000, production of 12,345,678 + 15,000 x (01) units and working hours of 100,000 + 1,500 hours x (01). The company uses the equipment for 7,884 hours and produced 876,543 units on the first year and 7,883 hours and produced 987,654 units on the second year. Solve for the following: b. Working Hours Method - Total Depreciation after the 1st year - Book value at the end of the 2nd year
Excel Applications for Accounting Principles
4th Edition
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Gaylord N. Smith
Chapter9: Depreciation (deprec)
Section: Chapter Questions
Problem 1R: Dunedin Drilling Company recently acquired a new machine at a cost of 350,000. The machine has an...
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AEC purchased an equipment for its manufacturing plant that costs PHP 3, 750 000 + PHP 10,000 x (01). It is estimated to have a useful life of 20 years; scrap value of PHP 375, 000, production of 12,345,678 + 15,000 x (01) units and working hours of 100,000 + 1,500 hours x (01). The company uses the equipment for 7,884 hours and produced 876,543 units on the first year and 7,883 hours and produced 987,654 units on the second year. Solve for the following:
b. Working Hours Method
- Total
- Book value at the end of the 2nd year
Kindly provide a COMPLETE and CLEAR solution. Don't use Excel.
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