Tammy Company purchased a boring machine on January 12018 for P8, 100 000. The useful life of the machine is estimated a years with a residual value at the end of this period of P600,000 During the useful life, the expected units of production are 12,000 units in 2018, 7,000 units in 2019 and 6,000 units in 2020 What is the depreciation expense for 2019 using the appropriate depreciation method ? Select the correct response 2.100.000 1.800.000 3,600 000 2.268,000

Q: Wool Inc purchased a machine on April 1, 2020, for $90,000, with an estimated useful life of 10…

A: Lets understand the basics. In double declining balance method, depreciation is calculated at double…

Q: Gruman Company purchased a machine for $198,000 on January 2, 2019. It made the following estimates:…

A: Depreciation is the loss in the value of a fixed asset due to the normal usage of asset. The value…

Q: ABC Company purchased equipment on January 1, 2020 for $560,000. The equipment has a residual value…

A: Depreciation means fall in value of assets because of use of assets , passage of time or change in…

Q: Kam Company purchased a machine on January 2, 2019, for $20,000. The machine had an expected life of…

A: The question is based on the concept of Depreciation Accounting. Depreciation is the reduction in…

Q: On October 1, 2017, ABC Company purchased a delivery equipment for P1,000,000. It had an estimated…

A: Solution : Given Purchase date October 1 2017 Purchase cost 1,000,000 Estimated…

Q: Gundrum Company purchased equipment on January 1, 2015 for $920,400. The equipment was expected to…

A: Working Note 1:Compute accumulated depreciation.

Q: Haemul Pajeon Company purchased a machine on January 2, 2018 for P500,000. The machine has an…

A: 1. Asset Value =P500,000 Estimated useful life = 8 years Depreciation Amount for 2018  = (Asset…

Q: Jon Seceda Furnace Corp. purchased machinery for $315,000 on May 1, 2020. It is estimated that it…

A: Depreciation: Depreciation is a method of reducing the capitalized cost of long-lived operating…

Q: Kam Company purchased a machine on January 2, 2019, for $20,000. The machine had an expected life of…

A: Depreciation in accounting can be calculated by different methods. Method of depreciation may also…

Q: Skysong, Inc. purchased a delivery truck for $32,400 on January 1, 2020. The truck has an expected…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: On Oct. 1, 2020, Shaw Company purchased a machine for P1,260,000 that was placed in service on Nov.…

A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets…

Q: Winsey Company purchased equipment on January 2, 2019, for $700,000. The equipment has the following…

A: Depreciation is an accounting technique for distributing a tangible or fixed asset's cost over its…

Q: Forrester Company purchased a machine on January 1, 2019 for $60,000, with a 5-year life, and a…

A: Double declining depreciation rate = Straight line depreciation rate x 2 = (100/5 years) x 2 = 40%

Q: Charlotte Corporation purchased a machine that had an original cost of $150,000 and an estimated…

A: Depreciation  as per straight  line method = (Cost- Residual value)/useful life  = ($150,000 -…

Q: On January 1, 2018, Check Co. bought a machine for $15,000. Residual value was estimated to be…

A: The answer is as fallows

Q: double-declining balance method, depreciation

A: Given that, Cost of machine = $45000 Residual value = $5000 Useful life = 4 years

Q: Dewey Corporation purchased a machine for $340,000 on January 1, 2012. The machine had an…

A: Depreciation is considered as an expense charge on the value of the Asset. The most common method…

Q: On July 1, 2016, Farm Fresh Industries purchased a specialized delivery truck for $126,000. At the…

A: Annual depreciation = (Cost of truck - Residual value) / Life of the truck = ($126,000 - $30,000) /…

Q: Blue Spruce Corp. purchased a new machine on October 1, 2020, at a cost of $134,000. The company…

A: 1. Compute the depreciation expense under straight-line method for 2020- Please see attached Answer…

Q: The Vladimir Corporation purchased an equipment on January 1, 2020. The machine cost P 92,000, with…

A: Depreciation is used to denote a decrease in the value of fixed assets. Depreciation is the…

Q: The Potter Corporation purchased a machine on January 1, 2020. The machine cost P 46,000, with an…

A: Solution..     Cost = P46,000  Estimated salvage value = P2,000  Life = 10 years

Q: ABC, Inc. purchased a crane on January 1, 2018, for P205,500. At the time of purchase, the crane was…

A: ABC, Inc. purchased a crane on January 1, 2018, for P205,500. At the time of purchase, the crane was…

Q: costing $40,000. Woodstock also paid $1,000 for transportation and installation. The expected useful…

A: The depreciation expense is charged on fixed assets as reduced value of the fixed asset with usage…

Q: Marigold A.Ş. purchased a piece of equipment at the beginning of 2019. The equipment cost t 431,720.…

A: Sum of year = 8 + 7 + 6 + 5 + 4 + 3 + 2 + 1 = 36

Q: 25-3) Colorado Company has been using the sum-of-the-years'-digits depreciation method to depreciate…

A: Sum of the digits =  n(n+1) / 2 n = the useful life in years

Q: Birkey Company purchased equipment on January 1, 2020, at a total cost of $99,000. The machinery’s…

A: Depreciation per machine hour under Units of production method = (Cost-salvage value)/ total number…

Q: Dewey Corporation purchased a machine for $340,000 on January 1, 2012. The machine had an…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Ariel Company purchased a boring machine on January 1, 2020 for P8,100,000. The useful life of the…

A: Depreciation is the allocation of cost of asset over it's useful life. Units of production is a…

Q: On January 1, 2020, Domino Company purchased a new machine for P4,000,000. The new machine has an…

A: Total Sum-of-the-years'-digits = 1+2+3+4+5+6+7+8 = 36 years Total sum of life remaining at the end…

Q: On January 1, 2018, Wasson Company purchased a delivery vehicle costing $40,000. The vehicle has an…

A: Depreciation = ( Cost - Residual value )×Number of units produced during the yearEstimated total…

Q: Dell Technologies Inc. at the beginning 2019 purchased servers at a cost of $750,000.  At that time…

A: Depreciation is the amount which shows the decrease in the value of asset over a period because of…

Q: On January 1, 2018, Wheeler, Inc. purchased some equipment for $3,900. The equipment had an…

A: Depreciation expense is part of cost of the asset charged as expense in the income statement.…

Q: On January 1, 2019, Woodstock, Inc. purchased a machine costing $42.400. Woodstock also paid $2.200…

A: Depreciable cost=Cost+installation-Residual value=$42,400+$2,200-$6,200=$44,600-$6,200=$38,400

Q: Waterway Industries purchased machinery on January 2, 2015, for $860000. The straight-line method is…

A: Determine the book value at the end of 2020.

Q: ord Company purchased a machine on January 2, 2019, for $70,000. The machine had an expected…

A: Depreciation: Depreciation is a method that reallocates the cost of a tangible asset over its useful…

Q: On September 30, 2021, Bricker Enterprises purchased a machine for $200,000. The estimated service…

A: Sum of years = 10+9+8+7+6+5+4+3+2+1 = 55 Number of years Outstanding = 10 years - 0.25 years(from…

Q: On January 1, 2020, Coronado Industries purchased a new machine for $4290000. The new machine has an…

A: Depreciation: It refers to a gradual decrease in the fixed asset’s value because of obsolescence,…

Q: Lord Company purchased a machine on January 2, 2019, for $70,000. The machine had an expected…

A: Depreciation means the loss in value of assets because of usage of assets , passage of time or…

Q: Oman Cables Co. Purchased a machine for OR45,000 on January 1, 2020. The machine is expected to have…

A: Sum of Years Digit method: Under this method the depreciation is calculated at an accelerated rate.…

Q: Watts Company purchased equipment in 2013 for $90,0ó0 and estimated a $6,000 salvage value at the…

A: Annual Depreciation as per straight line method is computed by the following formula: Depreciation…

Q: RS Inc. acquired a delivery truck for P2,100,000 on January 1, 2018. The delivery truck has useful…

A: 1. Sum of useful life  = 5+4+3+2+1  = 15 2. Calculation of depreciation rate for each year under sum…

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A: Introduction:- The following basic information as follows under:- Machine expected to units…

Q: ABC, Inc. purchased a crane on January 1, 2018, for P205,500. At the time of purchase, the crane was…

A: Under straight line method of recording depreciation, equal amount of depreciation expense is…

Q: Vaughn Company purchased a machine on January 1, 2019, for $59000 with an estimated salvage value of…

A: Depreciation is charged on the assets indicating the decrease in the value of the asset.…

Q: Charlotte Corporation purchased a machine that had an original cost of $150,000 and an estimated…

A: *As per the bartleby guidelines, in case of interlinked question answer first 3 only    Given that:…

Q: Lord Company purchased a machine on January 2, 2019, for $70,000. The machine had an expected…

A: This Numerical has covered the concept of Depreciation Accounting.

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A: SUM of years degits method of depriciation Year  Depreciation base no of years Fraction…

Q: On January 1, 2018, Hobart Mfg. Co. purchased a drill press at a cost of $21,900. The drill press is…

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Q: Birkey Company purchased equipment on January 1, 2020, at a total cost of $99,000. The machinery’s…

A: Solution: Introduction: Depreciation means a reduction in the value of an asset due to passage of…

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A: Depreciation: Depreciation means the reduction in the value of an asset over the useful life of the…

Depreciation Methods

The word "depreciation" is defined as an accounting method wherein the cost of tangible assets is spread over its useful life and it usually denotes how much of the assets value has been used up. The depreciation is usually considered as an operating expense. The main reason behind depreciation includes wear and tear of the assets, obsolescence etc.

Depreciation Accounting

In terms of accounting, with the passage of time the value of a fixed asset (like machinery, plants, furniture etc.) goes down over a specific period of time is known as depreciation. Now, the question comes in your mind, why the value of the fixed asset reduces over time.