Ten years ago, a contractor was able to purchase a crane whose capacity is 2000 tons costing ₱125 per ton. The life was estimated to be 15 years with a salvage value of 10% of the cost. At present abandoning the old crane in favor, a modern model is being considered. A market had been found for the old crane at ₱ 80,000. If the depreciation has been figured on a straight-line basis, what is the difference between the depreciation book value of the old crane and its sale value?

Q: A machine, purchased for$50,000, has a depreciable life of five years. It will have an expected…

A:

Q: A machine purchased three years ago for $311,000 has a current book value using straight-line…

A: The decision for keeping a machine and replacing the machine is taken by the company by comparing…

Q: A company purchased a van at a cost of $42,000 and expects its salvage value to be $6,000 after…

A: The depreciation is a decline in the value of tangible assets over their useful life. it is a…

Q: A machine costs Php 500,000 with a salvage value of Php 50,000. Its useful life is six years. The…

A: Depreciation is the decrease in the value of fixed tangible asset due to usage, obsolence or passage…

Q: The Erley Equipment Company purchased a machine 5 years ago at a cost of $100,000. The machine had…

A: Capital budgeting techniques helps a company to select among the alternative available investment to…

Q: A certain corn mill decided to sell its old engine which has been used for 5 years costing P7,200…

A: SOLUTION DEPRECIATION REPRESENTS HOW MUCH OF AN ASSETS VALUE HAS BEEN USED.

Q: If money is worth 10% to the company, should the old machine be replaced or not and how much is the…

A: Initial cost of existing vertical boring machine is considered at P60,000 being the realizable value…

Q: what will the Depreciation Expense be for the second year if the straight-line method is used

A: Given information is: French Confection, Inc., bought machinery at a cost of $83,000 at the…

Q: NUBD Co. had a machine with an original cost of P95,000 and an estimated salvage value of 5,000.  It…

A: Annual Depreciation on old machine = (Cost of the assets - Salvage value) / life of the assets =…

Q: A company that makes micro motion compact coriolis meters purchased a new packaging system for…

A: Replacement study consider most recent data. The total annual benefit on new system can be…

Q: Lance Co. had a machine with an original cost of P95,000 and an estimated salvage value of 5,000. It…

A: Annual Depreciation on old machine = (Cost of the assets - Salvage value) / life of the assets =…

Q: Your firm is replacing a manually-operated machine with a fully automated machine. The old machine…

A: The net amount of cash and cash equivalents that are transferred into and out of a business is…

Q: Pollyanna Publishing, a textbook publishing firm, purchased a new machine for $80,000. This machine…

A: Depreciation Rate for Double-Declining-Balance Method = Straight-Line Method Rate x 2 = (100 /…

Q: An automated assembly robot that cost $400,000 has a depreciable life of five years with a $100,000…

A: The book value is the cost of the assets less the depreciation for the period. The depreciation is…

Q: A firm is planning to replace an old machine that was acquired several years ago at a cost of…

A: Here in this question, we are required to calculate net cost of investment. For calculating that…

Q: MTE mechanical engineering Company has a machine purchased 5 years ago at a cost of BDT 100000.00.…

A: Data given: Old Machine: Cost price = BDT 100000 Life of machine =10 years Annual depreciation = BDT…

Q: Macintosh Printing, Inc., purchased a $20,000 printing machine two years ago. The company expected…

A: Cost of machine = $20,000 Expected life = 7 year Salvage value = $5000 Last year repairs = $5000 Per…

Q: Eight years ago, a company purchased an injection molding machine at $40,000. It has been…

A: Information given in the case: Cost of machine = $40,000 Life = 12 years Salvage value at the end of…

Q: Cyber Manufacturing purchased a complete video borescope system for applications that require work…

A:

Q: A piece of machinery costs P50,000 and has an anticipated P8,000 salvage value at the end of its…

A: Depreciation is a gradual decrease in the value of asset due to normal wear and tear, obsolescence…

Q: The machine bought at a price of Php 480,000 has an economic life of 5 years and a salvage value of…

A:

Q: A new engine was installed by a textile plant at cost of P and projected to have a useful life of 15…

A: Given information : Useful life 15 Salvage value 31000 Capitalized cost 360000 Interest…

Q: As the newly appointed Financial Executive of this company, you are required to evaluate and make…

A: NPV: It is the present worth of the project or investment taking into account the initial investment…

Q: A machine purchased three years ago for $311,000 has a current book value using straight-line…

A: Machinery costs can be classified into two domains Annual ownership costs Operating Costs Annual…

Q: The Erley Equipment Company purchased a machine 5 years ago at a cost of $100,000. The machine had…

A: Given  Old machine purchase price - $100,000 Life -10 years - remaining life 5 years Salvage value…

Q: The initial cost of a paint sand mill, including its installation, is P800,000. The BIR approved…

A: Initial cost = P 800,000 Salvage value = P 50,000 Dismantling cost = P 15000 Life = 10 Years

Q: The annual depreciation of Php20,000 has been reserved for a machine using straight line for 8…

A: Machine cost = Php200,000 Annual depreciation = Php20,000 Life of machine = 8 years

Q: A firm is planning to replace an old machine that was acquired several years ago at a cost of…

A: Calculation of total cost of new machine  purchase price                 = $800,000 Add :-Trade in…

Q: Ten years ago, a contractor was able to purchase a crane whose capacity is 2000 tons costing P125…

A: Straight line basis is a method of calculating depreciation and amortization, the process of…

Q: A construction company is considering changing its depreciation from the MACRS method to the…

A: Depreciation refers to an accounting method or system of allocating the cost of a tangible or…

Q: An injection moulding machine was purchased 2 years ago. The machine has been depreciated on a…

A: The difference between the current value of cash inflows and outflow of cash over a period of time…

Q: . The Alpha Drug Company has just purchased a capsulating machine for ₱ 2,000,000. The plant…

A: Hai there! Thank you for the question. Question has multiple sub parts. As per company guidelines…

Q: What will the depreciation charge be in year seven​? What will be the book value at the end of year…

A: Formula: Rate of DDB Depreciation= 100%Usefull Life×2 Given: CNC machine ​$35,000 Service life    7…

Q: Two years ago, your company purchased a machine used in manufacturing for RM140,000. Although the…

A: Cost of equity is the return that an investor requires for investing in a company or the required…

Q: y a textile plant at a cost of P353,000 and projected to have a useful life of 14 years. At the end…

A: The given problem can be solved using PMT function in excel. PMT function computes equal uniform…

Q: Two years ago, your company purchased a machine used in manufacturing for RM140,000. Although the…

A: Initial cash outflow : It includes price of equipment purchase , shipping charges , net working…

Q: A new boiler was installed by a textile plant at a cost of P3,000,000 and projected to have a useful…

A: Capitalization costs are the costs incurred by the company for acquiring the assets but are…

Q: An automated assembly robot that cost $300,000 has a recovery period of five years with an expected…

A: Depreciation recapture- It is a tax provision that powers the IRS to collect taxes on any profitable…

Q: NUBD Co. had a machine with an original cost of P95,000 and an estimated salvage value of 5,000. It…

A: Sunk cost refers to expenses which have already been incurred and cannot be recovered at any cost…

Q: A machine now in use was purchased fouryears ago at a cost of $30,000. It has a book valueof $9,369.…

A: Depreciation is the decrease in the value of fixed tangible asset due to use of asset or due to…

Q: A machine has a life of 25 years, costs $250,000, and has a salvage value of $20,000 using…

A:

Q: A factory has decided to purchase some new equipment for P650, 000. The equipment will be kept for…

A: Allocating the cost of assets equally throughout the life of the asset is known as the straight-line…

Q: On January 1, 2003, Superior Landscaping Company paid P17,000 to buy a stump grinder. If Superior…

A: Depreciation is the gradual conversion of the cost of a  fixed asset into expense. It is a charge…

Q: cooling water pumping station at a manufacturing plant in Iligan City costs P30,000,000 to…

A: Straight line method charge depreciation equally over the useful life of the assets. Declining…

Q: The Darlington Equipment Company purchased a machine 5 years ago, prior to the TCJA, at a cost of…

A: The question is related to Capital Budgeting amd the problem is of replacement decision.

Q: i. Calculate the yearly depreciation for a machine that has an expected useful life of 10 years. The…

A: As posted multiple independent questions we are answering only first question kindly repost the…

Q: Delaney Company is considering replacing equipment that originally cost $600,000 and has accumulated…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: The initial cost of an evaporative crystallizer including its installation is Php 930,000. The…

A: solution given Initial cost 930000 Cost of dismantling 22000 Salvage value 66000…

Q: A factory has decided to purchase some new équipment for P650, 000. The equipment will be kept for…

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

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.