Question

Need help with the rest... with formulas please ?

EASY DEPRECIATION PROBLEMS TOTAL SCORE n 10 ohnson Company purchased a machine on January 1, 2018. Use the following data to compute the items specified below There are 5 problems in this set. Choose a number from 1 to 5: $11 COST: SALVAGE VALUE LIFE YEARS ANSWER EACH OF THE FOLLOWING GRADE DDB RATE 7 DEPRECIATION EXPENSE IN YEAR 1 (DDB) 8 BOOK VALUE END OF YEAR 1 9 BOOK VALUE END OF YEAR 3 O BOOK VALUE AT THE END OF S YEARS 0.4 1 DEPRECIABLE COST 2 STRAIGHT LINE RATE AS A DECIMAL 3 SL DEPRECIATION EXPENSE IN YEAR 1 4 BOOK VALUE AFTER ONE YEAR (SL) 5 BOOK VALUE AFTER THREE YEARS (SL) 0-Jan

Answer 1

Straight line depreciation rate= 1/years

SL depreciation expense=(cost-salvage)/years

11000 Double decline Annual Deprecia Depreciat depreciation Book ble cost ion rate Expense Salvage Life 1000 Year Value 5 years 1 11,000 6,600 3 3,960 2,376 1,426 4,400 2,640 1,584 950 426 9,574 6,600 3,960 2,376 1,426 1,000 40% 40% 1 Depreciable cost 2 Straight line rate as decimal 3 SL depre expense in year 1 4 Book value after one year 5 Book value after three year 10000 0.20 2000 9000 5000 6 DOB rate 7 Dep exp in year 1 8 Book value end of year 1 9 Book value end of year 3 4,400 6,600 2,376 1,000 40% Total 10 Book value end of year 5 F H 1 Cost 11000 Double decline 2 Salvage 3 Life 1000 Year Depreciable cost Depreciation rate Annual depreciation Expense Book Valuee 13 13 14 14 15*15 16 16 426 -C1 13-K3 13-K4 14-K5 15-K6 -L6-K7 years -13 SFS5 51 Depreciable cost 6 2 Straight line rate as ecia 1/C3 | 7 |3 SL depre expense in year 1 -C5*C6 8 Book value end of year 1 -L3 :8 4 Book value after one year C1-C7 9 Book value end of year 3 LS ' g | 5 Book value after three year -C1(3*C7) 10 Book value end of year 5 -l7 (C1-C2) 6 7 Dep exp in year 1 DOB rate K3 4 -L5 SF$5 otal 10