On January 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of...

    

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On January 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $16,000. The equipment is expected to produce 400,000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. 2. Double-declining-balance. Formula Amount for 2021 Amount for 2022 Double-Declining-Balance Method X X X % % = Depreciation Expense = = On January 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $16,000. The equipment is expected to produce 400,000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. 3. Units of production (units produced in 2021, 48,000; units produced in 2022, 43,000). (Round "Depreciation per unit rate" answers to 2 decimal places.) Select formula for Units of Production Depreciation: Calculate 2021 depreciation expense: Depreciation per unit rate Units produced in 2021 Depreciation in 2021 Calculate 2022 depreciation expense: Depreciation per Units produced in 2022 Depreciation in 2022 Assume that, on January 1, 2021, Matsui Co. paid $957,600 for its investment in 53,200 shares of Yankee Inc. Further, assume that Yankee has 190,000 total shares of stock issued. The book value and fair value of Yankee's identifiable net assets were both $380,000 at January 1, 2021. The following information pertains to Yankee during 2021: Net income Dividends declared and paid Market price of common stock on 12/31/2021 $190,000 $ 57,000 $ 20/share What amount would Matsui report in its year-end 2021 balance sheet for its investment in Yankee? Sox Corporation purchased a 35% interest in Hack Corporation for $1,550,000 on January 1, 2021. On November 1, 2021, Hack declared and paid $1.2 million in dividends. On December 31, Hack reported a net loss of $5.0 million for the year. What amount of loss should Sox report on its income statement for 2021 relative to its investment in Hack? Jeremiah Corporation purchased debt securities during 2021 and classified them as securities available-for-sale: Security Cost A $40,000 B 70,000 28,000 C Fair Value, 12/31/2021 $49,000 66,000 39,000 All declines are considered to be temporary. How much gain will be reported by Jeremiah Corporation in the December 31, 2021, income statement relative to the portfolio? On January 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $16,000. The equipment is expected to produce 400,000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. 2. Double-declining-balance. Formula Amount for 2021 Amount for 2022 Double-Declining-Balance Method X X X % % = Depreciation Expense = = On January 1, 2021, the Allegheny Corporation purchased equipment for $148,000. The estimated service life of the equipment is 10 years and the estimated residual value is $16,000. The equipment is expected to produce 400,000 units during its life. Required: Calculate depreciation for 2021 and 2022 using each of the following methods. 3. Units of production (units produced in 2021, 48,000; units produced in 2022, 43,000). (Round "Depreciation per unit rate" answers to 2 decimal places.) Select formula for Units of Production Depreciation: Calculate 2021 depreciation expense: Depreciation per unit rate Units produced in 2021 Depreciation in 2021 Calculate 2022 depreciation expense: Depreciation per Units produced in 2022 Depreciation in 2022 Assume that, on January 1, 2021, Matsui Co. paid $957,600 for its investment in 53,200 shares of Yankee Inc. Further, assume that Yankee has 190,000 total shares of stock issued. The book value and fair value of Yankee's identifiable net assets were both $380,000 at January 1, 2021. The following information pertains to Yankee during 2021: Net income Dividends declared and paid Market price of common stock on 12/31/2021 $190,000 $ 57,000 $ 20/share What amount would Matsui report in its year-end 2021 balance sheet for its investment in Yankee? Sox Corporation purchased a 35% interest in Hack Corporation for $1,550,000 on January 1, 2021. On November 1, 2021, Hack declared and paid $1.2 million in dividends. On December 31, Hack reported a net loss of $5.0 million for the year. What amount of loss should Sox report on its income statement for 2021 relative to its investment in Hack? Jeremiah Corporation purchased debt securities during 2021 and classified them as securities available-for-sale: Security Cost A $40,000 B 70,000 28,000 C Fair Value, 12/31/2021 $49,000 66,000 39,000 All declines are considered to be temporary. How much gain will be reported by Jeremiah Corporation in the December 31, 2021, income statement relative to the portfolio?

Answer rating: 100% (QA)

1 Calculate depreciation for 2021 and 2022 using the doubledecliningbalance method you can follow these steps Calculate the straightline depreciation rate first Straightline depreciation rate Cost Res... View the full answer