Kester Co. purchases a piece of equipment on May 1, 20xx, for $30,000. The equipment has an
Question:
Kester Co. purchases a piece of equipment on May 1, 20xx, for $30,000. The equipment has an estimated life of eight years or 50,000 units of production and an estimated residual value of $3,000. Kester uses a calendar fiscal year.
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What is the amount of straight-line depreciation to be recorded in the first partial year? (Hint: use the nearest month and calculate a partial year.)
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Question 21 (1 point)
Use the following information to answer the question(s) below.
Kester Co. purchases a piece of equipment on May 1, 20xx, for $30,000. The equipment has an estimated life of eight years or 50,000 units of production and an estimated residual value of $3,000. Kester uses a calendar fiscal year.
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The amount of depreciation to be recorded for the first partial year using the double-declining –balance method, is
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Question 22 (1 point)
Use the following information to answer the question(s) below.
Kester Co. purchases a piece of equipment on May 1, 20xx, for $30,000. The equipment has an estimated life of eight years or 50,000 units of production and an estimated residual value of $3,000. Kester uses a calendar fiscal year.
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The amount of depreciation to be recorded for the first partial year using the units of production method and assuming that 6,500 units are produced, is
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Question 23 (1 point)
The primary difference between ordinary and extraordinary repairs is that extraordinary repairs
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Fundamental Accounting Principles Volume II
ISBN: 978-1259066511
14th Canadian Edition
Authors: Larson Kermit, Jensen Tilly