A contractor imported a bulldozer for his job, paying Ph 250000 to the manufacturer. Freight and insurance charges amounted to Php 18000; customs, broker's fees and arrastre services, Php 8500; taxes, permits and other expenses, Php 25000. If the contractor estimates the life of the bulldozer to be 10 years with salvage value of Php 20000, determine the book value at the end of 6 years, using c. Matheson Formula d. SYD Method

A contractor imported a bulldozer for his job, paying Ph 250000 to the manufacturer. Freight and insurance charges amounted to Php 18000; customs, broker's fees and arrastre services, Php 8500; taxes, permits and other expenses, Php 25000. If the contractor estimates the life of the bulldozer to be 10 years with salvage value of Php 20000, determine the book value at the end of 6 years, using c. Matheson Formula d. SYD Method

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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1. A contractor imported a bulldozer for his job, paying 250,000 to the manufacturer. Freight and insurance charges amounted to 18,000; customs broker's fee and arrastre services, 8,500; taxes, permits and other expenses, 25,000. If the contractor estimates the life of the bulldozer to be 10 years with salvage value of 20,000, determine the book value at the end of 6 years, using the: a. SLM b. Sinking @ i=18% c. Matheson d. SYD method
San Jose Builders imported a backhoe for his job, paying P2,500,000.00 to the manufacturer. Freight and insurance charges amounted to P80,000.00; customs broker's fee and arrastre services is P50,000.00; taxes, permits, and other expenses , P60,000.00. If San Jose Builders estimates the life of the backhoe to be 10 years with a salvage value of P600,000.00, determine the book value at the end of 6 years using sinking fund formula at 8%.
Mr Cruz imported a truck for his job, paying P550,000 to the manufacturer. Freight andinsurance charges amounted to P28,000; customs and brokers fees is P8,500; taxes,permits and other expenses, P25,000. If Mr Sy estimates the life of the bulldozer to be10 years with a salvage value of 320,000, determine the book value at the end of 7years using: 1. Straight line method2. Sinking fund Method at 8%3. Matheson Formula4. Double Declining Balance Method5. SYD Method
A contractor imported a bulldozer for his job paying P 260,000 to the manufacturer. Freight and insurance charges amounted to P 28,000, custom's brokers fees and arrastre services is worth P 8,500 while taxes, permits and other expenses is worth P 38,000. If the contractor estimates the life of the bulldozer to be 10 yrs with a salvage value of P 10,000, determine the book value at the end of 6 yrs using a.) straight-line method; b.) sinking fund method at 8%; c.) Matheson Formula; d.) double declining balance method and e.) the sum of the year's digit.
A company imported a new manufacturing machine for their plant, paying P 850,000to the Manufacturer. Freight and Insurance charges amounted to P 28,000; customs’ broker’s feesand arrastre services, P 18,500; taxes, permits and other expenses, P 25,000. If San MiguelCorporation estimates the life of the machine to be 7 years with a salvage value of P 320,000,determine the book value at the end of 4 years, using the Double Declining Balance Method. (pls write your solution on a paper)
A contractor can buy dump trucks for ₱ 800,000 each or rent them for ₱ 1,200 per truck per day. The truck has a salvage value of ₱ 100,000 at the end of its useful life of 5 years. The annual cost of maintenance is ₱ 20,000. Using annual cost method and 14% interest rate, determine the number of days per year that a truck must be used to warrant its purchased. Use sinking fund method of depreciation.
A contractor imported a bulldozer for his job paying $260,000 to the manufacturer. Freight and insurance charges amounted to $28,000, custom brokers fees and arrastre services is worth $8,500 while taxes, permits, and other expenses are worth $38,000. If the contractor estimates the life of the bulldozer to be 10 yrs with a salvage value of $10,000, determine the book value at the end of 6 yrs using a.) straight-line method; b.) sinking fund method at 8%; c.) Matheson Formula
A contractor imported a bulldozer for his job paying $260,000 to the manufacturer. Freight and insurance charges amounted to $28,000, custom's broker's fees, and arrastre services are worth $8,500 while taxes, permits, and other expenses are worth $38,000. If the contractor estimates the life of the bulldozer to be 10 yrs with a salvage value of $10,000.Determine the book value at the end of 6 yrs using a.) Double Declining Balance Methodb.) Sum of the Years Digit MethodNote: Show full solution
A bulldozer was bought for ₱ 0.50M and have an estimated useful life of 10 years after which itwill have a scrap value of ₱0.05M. Repair and maintenance is placed at ₱ 35T annually, while cost for fuel,oil, lubricant and operator plus helper will be ₱ 12T monthly. Determine the following: What is the annual cost using the straight line method for computing depreciation when the minimumattractive rate of return is 8%?
A machine has a first cost of Php 13,000.,an estimate life of 15 years, and anestimated salvage value of Php 1,000. Using SLM, find a) the annualdepreciation charged. b) the annual depreciation rate expressed aspercentage of the first cost c) the book value at the end of 9 years.
A contractor imported a bulldozer for his job paying $260,000 to the manufacturer. Freight and insurance charges amounted to $28,000, custom's broker's fees and arrastre services is worth $8,500 while taxes, permits, and other expenses is worth $38,000. If the contractor estimates the life of the bulldozer to be 10 yrs with a salvage value of $10,000, determine the book value at the end of 6 yrs using a.) double declining balance method and b.) sum of the year's digit.
6.) A contractor imported a bulldozer for his job, paying P250,000 to the manufacturer. Freight and insurance charges amounted to P18,000; custom's broker's fees, P8,500; taxes, permits, and other initial expenses, P25,000. If the contractor estimates life of the bulldozer to be 10 years, with a salvage value of P20,000, determine the book value at the end of six years, using the: [a] straight line formula [b] sinking fund formula at 8% [c] declining balance method [d] SYD method