Truss, Inc. purchased a new machine on January 1, 2021, at a cost of 700.000 The...

Transcribed Image Text:

Truss, Inc. purchased a new machine on January 1, 2021, at a cost of 700.000 The machine's estimated useful life at the time of the purchase was four years, and its residual value was 55.000. Instructions 1. Prepare a complete depreciation schedule, beginning with calendar year 2021, under each of the methods listed below: (a) Straight-line (10 points) (b) 200 percent declining-balance (10 points) Assume that Truss, Inc. sells the machine on December 31, 2021, for 300.000 cash. Compute the resulting gain or loss from this sale under each of the depreciation methods (5 points) Truss, Inc. purchased a new machine on January 1, 2021, at a cost of 700.000 The machine's estimated useful life at the time of the purchase was four years, and its residual value was 55.000. Instructions 1. Prepare a complete depreciation schedule, beginning with calendar year 2021, under each of the methods listed below: (a) Straight-line (10 points) (b) 200 percent declining-balance (10 points) Assume that Truss, Inc. sells the machine on December 31, 2021, for 300.000 cash. Compute the resulting gain or loss from this sale under each of the depreciation methods (5 points)

Answer rating: 100% (QA)

Answer I The depreciation expense is charged on fixed assets as reduction in the value of fixed asse... View the full answer