Required information [The following information applies to the questions displayed below.] University Car Wash built a deluxe car wash across the street from campus. The new machines cost $219,000 including installation. The company estimates that the equipment will have a residual value of $19,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows: Year Hours Used 2,800 1,400 1,500 2,500 2,300 2,000 2 4 Required: 1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.) X Answer is not complete. UNIVERSITY CAR WASH Depreciation Schedule-Straight-Line End of year amounts Depreciation Expense Accumulated Year Book Value Depreciation 44,688 X $ 44,688 X $ 174,312 2 22,344 X 3 23,940 4 Total 2$ 90,972

Question

Hello, I am stuck with this problem. Could you help me please? 

Required information
[The following information applies to the questions displayed below.]
University Car Wash built a deluxe car wash across the street from campus. The new machines cost $219,000 including
installation. The company estimates that the equipment will have a residual value of $19,500. University Car Wash also
estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows:
Year
Hours Used
2,800
1,400
1,500
2,500
2,300
2,000
2
4
View transcribed image text
Expand
Required:
1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.)
X Answer is not complete.
UNIVERSITY CAR WASH
Depreciation Schedule-Straight-Line
End of year amounts
Depreciation
Expense
Accumulated
Year
Book Value
Depreciation
44,688 X $
44,688 X $
174,312
2
22,344 X
3
23,940
4
Total
2$
90,972
View transcribed image text
Expand

Expert Answer

Want to see the step-by-step answer?

Check out a sample Q&A here.

Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

*Response times may vary by subject and question complexity. Median response time is 34 minutes for paid subscribers and may be longer for promotional offers.
Tagged in
Business
Accounting

Related Accounting Q&A

Find answers to questions asked by students like you.

Q: What effects might the devaluation of a nation’s currency have on its business firms, its consumers ...

A: Devaluation of currency usually happens when the overall value of the currency is diminished in the ...

Q: 6) ABC makes & sells doors & windows. Prepare a sales & production budget.   Estimates: ...

A: Budget: It is statement showing an estimate of revenues and expenditures for a defined period of tim...

Q: Explain the term supply chain and its importance to cost management.

A: Definition:   Value chain: A value chain refers to certain activities executed by a firm to enrich t...

Q: 1. Calculate the taxes and average tax rate for a married couple family of four in the 15 percent br...

A: Since we only answer only one question, we’ll answer the first. Please resubmit the question and spe...

Q: Can you help me with this journal entry please?

A: Prepare the journal entry to record the issuance of bonds at face amount on March 1.

Q: Show the calculation of the following activity ratios: (1) the receivables turnover ratio, (2) the i...

A: The activity ratio of a company is used to determine how well a company is using its assets in gener...

Q: .    In determining the amount of a provision, a company using IFRS should generally measure: a.   u...

A: An economic obligation created and maintained to cover the future liability is termed as provisions....

Q: What steps should a management accountant take if established written policies provide insufficientg...

A: Management accountants are the risk managers, prepare budgets and helps manager in taking various de...

Q: 5) Prepare a flexible budget for the SGA expenses at the sales levels provided:   Sales commissions ...

A:   Budgets are useful for large companies with difficult activities as well as small companies.  Budg...

Q: Compute Unit Costs and Gross Margin Pg. 325 Please show and explain how to compute the Unit Costs an...

A: Activity based costing system: Activity based costing is a method of cost accounting where the overh...

Q: Describe any differences in segment disclosure requirements between U.S. GAAP and IFRS.

A: International Financial Reporting Standards IFRS is a set of global accounting standards issued by t...

Q: Using the data below, determine the ending inventory amount assuming the weighted average method wit...

A: Solution: Particulars Unit Unit Cost Total cost ($) Beginning inventory 10     Purchases 20  ...

Q: In this section we have two comprehensive problems. Complete both to be eligible for credit. Problem...

A: 1 and 2 Journalize the given transaction and Present the effects of the stock transactions on Compan...

Q: How do I journalize using the straight line method

A:  A) Journal entry at the time of issuance of bonds on 1 April 2016

Q: Which of the following is not a primary function of the management accountant?a. Communicates financ...

A: Management accounting: Management accounting measures, analyzes and reports both financial and non-f...

Q: Why is the distinction between a conditional and unconditional contribution important for accounting...

A: Step 1 The main difference between conditional and non-conditional contributions is that to recogniz...

Q: On January 1, 2012, AB Ltd buys a truck for $42,000 cash. It has estimated residualvalue of $2,000, ...

A: As given, Original cost of truck $42,000 Residual Value $2,000 Life of truck in years 4 Years...

Q: The purpose of the ledger is to: Group of answer choices a)record chronologically the day's transac...

A: Ledger: Ledger is the book, where the debit and credit entries recorded in the journal book are tra...

Q: The cash account for Pala Medical Co. at June 30, 20Y1, indicated a balance of $97,456. The bank sta...

A: Bank reconciliation is a statement that shows the difference in the bank balance shown by the compan...

Q: Recovery of impairment is recognized under IFRS for all the following except: a. patent held for sal...

A: Goodwill: Goodwill is the good reputation developed by a company over years. This is recorded as an ...

Q: The payroll of YellowCard Company for September 2020 is as follows. Total payroll was $480,000, of w...

A: Payroll Accounting: The process of payroll accounting includes the computation and payment of earnin...

Q: Raynor Company has the following data:Direct labor $76,000Direct materials used 84,000Total manufact...

A: Click to see the answer

Q: Evers Industries has a past history of uncollectible accounts, as follows. Age Class Percent ...

A: Aging of Accounts Receivable method: It is one of the methods of estimating bad debts, in which it c...

Q: On February 1, 2021, one of the huge storage tanks of Viking Manufacturing exploded. Windows in hous...

A: What are contingent losses:  According to accounting standard 4 which deals with contingent losses a...

Q: Down Inc. operates a large quarry in Central BC. Selected data from Down Inc. for the year ended Dec...

A: Solution 1. Profit Margin: Profit margin is the ratio of net income relative to the net sales. It is...

Q: Linda Butler is the new division controller of thesnack-foods division of Daniel Foods. Daniel Foods...

A: The management is responsible for presenting a true and fair view of the financial statements. Howev...

Q: I am having trouble completing this question. "My company" means Urban Outfitters, Inc. which is the...

A: Depreciation is a non-cash expense which reduces the value of a fixed asset. It is a permanent loss ...

Q: George Zidek Corporation bought a machine on June 1, 2018, for $31,000, f.o.b. the place of manufact...

A:  

Q: Romo Company spent $190,000 developing a new process, $45,000 in legal fees to obtain a patent, and ...

A: Patent: The patent is defined as right granted by government to an inventor to make and sell an inve...

Q: Ratios Analysis: McCormick McCormick & Company, Inc. is one of the world's leading producers of ...

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and s...

Q: The XYZ Construction Company was awarded a contract for $3,150,000 to build a new building XYZ estim...

A: Compute percentage of completion for construction as shown below:  

Q: When will NOI under the variable costing method show higher income than under the absorption costing

A: Net Operating Income: It is a calculation used to assess the profitability of the business.

Q: Presented below is information related to equipment owned by Suarez Company at December 31, 2020. ...

A: Click to see the answer

Q: Inventory records for Marvin Company revealed the following:  Date Transaction Numberof Units Uni...

A: In FIFO or first In First Out method, goods received first are dispatched first.

Q: Which of the following statements is true? Private not-for-profit universities must report deprecia...

A: Depreciation:   Depreciation expense is a non-cash expense, which is recorded on the income statemen...

Q: On March 4, Micro Sales makes $10,500 in sales on bank credit cards that charge a 3% service charge ...

A: Journal: It is the systematic record of a financial transaction recorded in a chronological order.

Q: Internal Controls Faith Cassen has recently been hired as the manager of Gibraltar Coffee Shop. Gibr...

A: An internal control refers to the policies, methods used by the management of the company for ensuri...

Q: My numbers seem to be off. Can someone help me?

A: Calculate the return on average assets as follows: Formulas:

Q: Kevan, Jerry, and Dave formed Albee LLC. Jerry and Dave each contributed $245,000 in cash. Kevan con...

A: K’s contributed through the cash $15,000 and through immovable assets (land) $120,000. Total contrib...

Q: Martin Buber Co. purchased land as a factory site for $400,000. The proc­ess of tearing down two old...

A: Calculate the cost of land and the building.

Q: Rearden Metal has earnings per share of $2. It has 10 million shares outstanding and is trading at $...

A: According to our guidelines we provide solution of only first 3 sub part. if you want the solution o...

Q: For each of the following note disclosures, indicate whether the disclosure would likely appear in (...

A: Definition:   Disclosure note: Disclosure note provides additional information from the financial s...

Q: Question 24 - On the costs of goods manufactured schedule, the item raw materials inventory (ending)...

A: Cost of goods manufactured: It is the total cost that is incurred for manufacturing the products and...

Q: Describe the potential statement of cash flows classification differences between U.S. GAAP and IFRS...

A: Click to see the answer

Q: Cost Flow Methods The following three identical units of Item P401C are purchased during April:  ...

A: Requirement a: Calculate the gross profit and ending inventory under first-in-first out method:

Q: How do managers make decisions toimplement strategy?

A: Managers are able to make better decisions to implement strategy with the help of management account...

Q: Comprehensive Care Nursing Home is required by statute and regulation to maintain a minimum 3 to 1 r...

A: Variable costs: These are the costs that proportionately change with the changes in the activity bas...

Q: As a new controller, reply to this comment by a plant manager: “As I see it, our accountants maybe n...

A: Click to see the answer

Q: Problem 3-35 (Part Level Submission) Sandhill Company produces a molded briefcase that is distribute...

A: Contribution margin is computed by subtracting all the variable costs from the sales revenue.

Q: Question#5  Match the items in the two columns below by entering the appropriate code letter in the ...

A: Management accounting: Management accounting refers to identifying, measuring, analyzing the financ...

Transcribed Image Text

Required information [The following information applies to the questions displayed below.] University Car Wash built a deluxe car wash across the street from campus. The new machines cost $219,000 including installation. The company estimates that the equipment will have a residual value of $19,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows: Year Hours Used 2,800 1,400 1,500 2,500 2,300 2,000 2 4

Required: 1. Prepare a depreciation schedule for six years using the straight-line method. (Do not round your intermediate calculations.) X Answer is not complete. UNIVERSITY CAR WASH Depreciation Schedule-Straight-Line End of year amounts Depreciation Expense Accumulated Year Book Value Depreciation 44,688 X $ 44,688 X $ 174,312 2 22,344 X 3 23,940 4 Total 2$ 90,972