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Problem 9-7A In recent years, Farr Company has purchased three-(Answered)

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I have 4 problems for Acc291, "University of Phoenix", ?I have some numbers and problems I am not able to figure out. Anyone can help me solve them?

Files attached. If you can show me the math in excel too. :o )


Problem 9-7A

 

In recent years, Farr Company has purchased three machines. Because of frequent employee

 

turnover in the accounting department, a different accountant was in charge of selecting the

 

depreciation method for each machine, and various methods have been used. Information

 

concerning the machines is summarized in the table below.

 


 

Machine

 

1

 

2

 

3

 


 

Acquired

 

Jan. 1, 2012

 

July 1, 2013

 

Nov. 1, 2013

 


 

Cost

 

$133,000

 

86,000

 

96,300

 


 

Salvage

 

Value

 

$37,600

 

10,300

 

7,200

 


 

Useful Life

 

(in years)

 

9

 

5

 

7

 


 

Depreciation

 

Method

 

Straight-line

 

Declining-balance

 

Units-of-activity

 


 

For the declining-balance method, Farr Company uses the double-declining rate. For the units-ofactivity method, total machine hours are expected to be 33,000. Actual hours of use in the first 3

 

years were: 2013, 730; 2014, 4,250; and 2015, 5,750.

 


 

Compute the amount of accumulated depreciation on each machine at December 31, 2015.

 

MACHINE 1

 


 

MACHINE 2

 

$

 


 

MACHINE 3

 

$

 


 

$

 


 

Accumulated Depreciation at December

 

31

 


 

LINK TO TEXT

 

LINK TO TEXT

 


 

If machine 2 was purchased on April 1 instead of July 1, what would be the depreciation expense

 

for this machine in 2013? In 2014?

 

2013

 


 

2014

 

$

 


 

$

 


 

Depreciation

 

Expense

 


 

LINK TO TEXT

 


 

Question Attempts: 0 of 3 used

 


 

 

Paper#9255529 | Written in 27-Jul-2016

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