On November 1, 2015, Fresh Manufacturers Inc. bought a line of production machinery for its new office

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On November 1, 2015, Fresh Manufacturers Inc. bought a line of production machinery for its new office for $500,000. (Machines fall within class 38-CCA rate 30%.) The residual value of the machinery is expected to be $50,000, and it is expected to remain in use for 10 years. The company uses the straight-line depreciation method.
Requirements
1. Calculate the depreciation expense and net book value on December 31, 2015 and 2016.
2. Calculate the CCA and UCC for 2015 and 2016.

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Financial Accounting

ISBN: 978-0133375534

2nd Canadian edition

Authors: Jeffrey Waybright, Robert Kemp, Sherif Elbarrad

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