A machine was originally purchased for 30,000. It is planned to be used for four years, and

Question:

A machine was originally purchased for £30,000. It is planned to be used for four years, and then sold for an estimated figure of £7,000. Show the calculations of the figures for depreciation (to the nearest £) for each year using

(a) the straight-line method; and

(b) the reducing balance method at 30% per year.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Frank Woods Business Accounting An Introduction To Financial Accounting

ISBN: 9781292365435

15th Edition

Authors: Alan Sangster, Lewis Gordon, Frank Wood

See More Books

Question Posted: Feb 29, 2024 09:01 AM

See More Questions

Your preparer tax identification number (PTIN) is PO0389571. Your Firm ik For) Jones and Miller's address is 230 Hollister Avenue - San Francisco, CA 94131 and its phone number is (650) 686-7777....
Gray & Greene Company is a relatively small private company with annual sales of $25,000,000, on a total asset base of $18,000,000. The company manufactures specialized parts for larger...
EveryWear Ltd. (EveryWear) is a well-known South African clothing manufacturer and retailer with a nationwide footprint. While both EveryWears administration and manufacturing plant are located in...
Aneko Company reports the following ($000s): net sales of $14,800 for 2018 and $13,990 for 2017; end-of-year total assets of $19,100 for 2018 and $17,900 for 2017. Compute its total asset turnover...
Selected balance sheet accounts for Gardner Company are presented below. Required: Analyze each account and recreate the journal entries that were made. For deferrals, be sure to include the original...
IGF Foods Company is a large, primarily domestic, consumer foods company involved in the manufacture, distribution, and sale of a variety of food products. Industry averages are derived from Troys...
A plant contains 2 centrifugal compressors of carbon steel and $500-\mathrm{kW}$ rating with explosion-proof electric motors 1 jaw crusher at $10 \mathrm{~kg} / \mathrm{s}$ capacity 3...
The Splash makes large fiberglass swimming pools and uses machine hours and direct labor hours to apply overhead in the Production and Installation departments, respectively. The monthly cost formula...
Tarrant Amertex Regional Hospital, one of our hospitals in the Fort Worth area, has been in need of a new Chief Executive Officer. Last week, we reached a "handshake" dealthough per current protocols...
A vehicle originally cost 64,000. It is expected to be used for three years, and then sold for 17,500. Calculate the depreciation for each year using (a) the reducing balance method, using a...
Kalindas business purchased a laptop for 950. It has an estimated useful life of three years and a scrap value of 200. She is not certain whether she should use the straight-line or the reducing...
Use Worksheet 5.4. Lin Wong purchased a condominium 4 years ago for $180,000, paying $1,250 per month on her $162,000, 8%, 25-year mortgage. The current loan balance is $152,401. Recently, interest...
An important practice is to check the validity of any data set that you analyze. One goal is to detect typos in the data, and another would be to detect faulty measurements. Recall that outliers are...
Consider the structure and applied actions shown in the figure below. Use the moment distribution method to analyse the frame using 1-decimal place accuracy, draw the bending moment diagram. P B A...
A cylindrical beam of length 2m and diameter of 120 mm, is arranged with a loading in the middle and two supports either end, as shown in Figure Q13. Select the correct Bending Stress in Mega-Pascals...
Evaluate 8 23r
Power Audio Inc. manufactures audio speakers. Each speaker requires $127 per unit of direct materials. The speaker manufacturing assembly cell includes the following estimated costs for the period:...
What are some disadvantages of issuing bonds?
Use of the contraceptive Depo Provera appears to triple women's risk of infection with chlamydia and gonorrhea , a study reports today. An estimated 20 million to 30 million women worldwide use Depo...
The balance in the cash book and on the bank statement did not agree in the accounts of R Green for the month of June 2014. From the above data: (a) Update the cash book (b) Produce a bank...
The bank columns in the cash book for November 2004 and the bank statement for that month for S Shaw are: (a) Write up the cash book up to date and state the new balance as on 30 November 2004. (b)...
The following are extracts from the cash book and the bank statement of P Jones: (a) Write up the cash book up to date and state the new balance as on 31 October 2011. (b) Draw up a bank...
Jill purchased her principal residence on January 1, Year 5, for $280,000. On January 1, Year 6, when it was worth $250,000, she turned it into a rental house. On January 1, Year 9, after...
Portsmouth Company makes upholstered furniture. Its only variable cost is direct materials. The demand for the company's products far exceeds its manufacturing capacity. The bottleneck (or...
How can internal and external validity be increased in an experiment?

A machine was originally purchased for 30,000. It is planned to be used for four years, and

Question:

Step by Step Answer:

a Straight Line Cost Yr 1 Depreciation Yr 2 Depreciation Yr 3 De...View the full answer

Frank Woods Business Accounting An Introduction To Financial Accounting

Students also viewed these Business questions