Blue Corporation purchased a new machine for its assembly process on August 1, 2025. The cost of this machine was $169,800. The company estimated that the machine would have a salvage value of $16,800 at the end of its service life. Its life is estimated at 5 years, and its working hours are estimated at 20,000 hours. Year-end is December 31. Compute the depreciation expense under the following methods. Each of the following should be considered unrelated. (Round depreciation rate per hour to 2 decimal places, e.g. 5.35 for computational purposes. Round your answers to O decimal places, e.g. 45,892.) (a) Straight-line depreciation for 2025 (b) (c) (d) Activity method for 2025, assuming that machine usage was 800 hours Sum-of-the-years'-digits for 2026 Double-declining-balance for 2026 $ $ $ $
Blue Corporation purchased a new machine for its assembly process on August 1, 2025. The cost of this machine was $169,800. The company estimated that the machine would have a salvage value of $16,800 at the end of its service life. Its life is estimated at 5 years, and its working hours are estimated at 20,000 hours. Year-end is December 31. Compute the depreciation expense under the following methods. Each of the following should be considered unrelated. (Round depreciation rate per hour to 2 decimal places, e.g. 5.35 for computational purposes. Round your answers to O decimal places, e.g. 45,892.) (a) Straight-line depreciation for 2025 (b) (c) (d) Activity method for 2025, assuming that machine usage was 800 hours Sum-of-the-years'-digits for 2026 Double-declining-balance for 2026 $ $ $ $
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter18: Accounting For Long-term Assets
Section: Chapter Questions
Problem 4CE: Grandorf Company replaced the engine in a truck for 8,000 and expects the new engine will extend the...
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![Blue Corporation purchased a new machine for its assembly process on August 1, 2025. The cost of this machine was $169,800. The
company estimated that the machine would have a salvage value of $16,800 at the end of its service life. Its life is estimated at 5 years,
and its working hours are estimated at 20,000 hours. Year-end is December 31.
Compute the depreciation expense under the following methods. Each of the following should be considered unrelated. (Round
depreciation rate per hour to 2 decimal places, e.g. 5.35 for computational purposes. Round your answers to O decimal places, e.g. 45,892.)
(a) Straight-line depreciation for 2025
(b)
(c)
(d)
Activity method for 2025, assuming that machine usage was 800 hours
Sum-of-the-years'-digits for 2026
Double-declining-balance for 2026
GA
$
GA
GA
$
$](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F42077dd4-5a93-4885-bc7c-dca1203ecd7a%2Fdf3a8624-c826-4986-a7e1-d157cb6a8068%2Fbv36jpi_processed.png&w=3840&q=75)
Transcribed Image Text:Blue Corporation purchased a new machine for its assembly process on August 1, 2025. The cost of this machine was $169,800. The
company estimated that the machine would have a salvage value of $16,800 at the end of its service life. Its life is estimated at 5 years,
and its working hours are estimated at 20,000 hours. Year-end is December 31.
Compute the depreciation expense under the following methods. Each of the following should be considered unrelated. (Round
depreciation rate per hour to 2 decimal places, e.g. 5.35 for computational purposes. Round your answers to O decimal places, e.g. 45,892.)
(a) Straight-line depreciation for 2025
(b)
(c)
(d)
Activity method for 2025, assuming that machine usage was 800 hours
Sum-of-the-years'-digits for 2026
Double-declining-balance for 2026
GA
$
GA
GA
$
$
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