Ayayai Company purchased a new machine on September 1, 2022, at a cost of $131,000. Th...

 

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Ayayai Company purchased a new machine on September 1, 2022, at a cost of $131,000. Th company estimated that the machine will have a salvage value of $13,000. The machine expected to be used for 10,000 working hours during its 5-year life. a) Compute the depreciation expense under the Straight-line method for 2022, 2023, and 2024. (Round answers to O decimal places, e.g. 15250.)$7,867; $23,600; $23,600 b) Compute the depreciation expense under the Units-of-activity for 2022, assuming machine usage was 800 hours. (11.8*800=$9,440) c) Compute the depreciation expense under the Declining-balance using double the straight-line rate for 2022, 2023, and 2024. (Round answers to 0 decimal places, e.g. 15250.)(131,000*40%*4/12=17,467; 45,413; 27,248) d) What journal entry would Ayayai Company make on December 31, 2022, if it uses straight-line depreciation? Depreciation expense Accumulated Depreciation 7,867 7,867 Ayayai Company purchased a new machine on September 1, 2022, at a cost of $131,000. Th company estimated that the machine will have a salvage value of $13,000. The machine expected to be used for 10,000 working hours during its 5-year life. a) Compute the depreciation expense under the Straight-line method for 2022, 2023, and 2024. (Round answers to O decimal places, e.g. 15250.)$7,867; $23,600; $23,600 b) Compute the depreciation expense under the Units-of-activity for 2022, assuming machine usage was 800 hours. (11.8*800=$9,440) c) Compute the depreciation expense under the Declining-balance using double the straight-line rate for 2022, 2023, and 2024. (Round answers to 0 decimal places, e.g. 15250.)(131,000*40%*4/12=17,467; 45,413; 27,248) d) What journal entry would Ayayai Company make on December 31, 2022, if it uses straight-line depreciation? Depreciation expense Accumulated Depreciation 7,867 7,867

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a Straightline depreciation method Under the straightline depreciation method the depreciation expense is calculated by dividing the difference betwee... View the full answer