8) What SUP Partial Year Sum of the Year’s Digits Depreciation for Asset 1004 Create a...
8) What SUP Partial Year Sum of the Year’s Digits Depreciation for Asset 1004 Create a new worksheet to calculate depreciation for a table purchased on August 1, 2017, for $95,000. It has an estimated salvage value of $2,000 and is to be depreciated over 10 years using the sum-of-the-year’s digits method. Follow the same process used in the chapter to calculate depreciation for partial periods.
Homework Answers
Asset# 1004
Asset Table
Date acquired 8/1/2017
Cost $95,000.00
Depreciation method SYD
Salvage value $2,000.00
Estimated useful life 10
Days in 1st year 152
| Year | Depreciation | Accumulated depreciation |
| 2017 | 16909.09 | 16909.09 |
| 2018 | 15218.18 | 32127.27 |
| 2019 | 13527.27 | 45654.55 |
| 2020 | 11836.36 | 57490.91 |
| 2021 | 10145.45 | 67636.36 |
| 2022 | 8454.55 | 76090.91 |
| 2023 | 6763.64 | 82854.55 |
| 2024 | 5072.73 | 87927.27 |
| 2025 | 3381.82 | 91309.09 |
| 2026 | 1690.91 | 93000 |
| Year | Book value year start | Total cost Depreciable | Depreciation percent | Depreciation expense | Accumulated depreciation | Book value year end |
| 2017 | 95000 | 93000 | 7.5757% (5/12) x (10/55) |
7045.401 | 7045.401 | 85954.60 |
| 2018 | 85954.60 | 93000 | 17.4242% [(7/12) x (10/55)] + [(5/12) x (9/55)] |
16204.506 | 23249.907 | 69750.09 |
| 2019 | 69750.09 | 93000 | 15.606% [(7/12) x (9/55)] + [(5/12) x (8/55)] |
14513.58 | 37763.487 | 55236.51 |
| 2020 | 55236.51 | 93000 | 13.7879% [(7/12) x (8/55)] + [(5/12) x (7/55)] |
12822.747 | 50586.234 | 42413.77 |
| 2021 | 42413.77 | 93000 | 11.9697% [(7/12) x (7/55)] + [(5/12) x (6/55)] |
11131.821 | 61718.055 | 31281.95 |
| 2022 | 31281.95 | 93000 | 10.1515% [(7/12) x (6/55)] + [(5/12) x (5/55)] |
9440.895 | 71158.95 | 21841.05 |
| 2023 | 21841.05 | 93000 | 8.3333% [(7/12) x (5/55)] + [(5/12) x (4/55)] |
7749.969 | 78908.919 | 14091.08 |
| 2024 | 14091.08 | 93000 | 6.5151% [(7/12) x (4/55)] + [(5/12) x (3/55)] |
6059.043 | 84967.962 | 8032.04 |
| 2025 | 8032.04 | 93000 | 4.697% [(7/12) x (3/55)] + [(5/12) x (2/55)] |
4368.21 | 89336.172 | 3663.83 |
| 2026 | 3663.83 | 93000 | 2.8788% [(7/12) x (2/55)] + [(5/12) x (1/55)] |
2677.284 | 92013.456 | 986.54 |
| 2027 | 986.54 | 93000 | 1.061% [(7/12) x (1/55)] |
986.73 | 93000.186 | 0 |
Add Answer to:
8) What SUP Partial Year Sum of the Year’s Digits Depreciation
for Asset 1004 Create a...
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40. If the asset is depreciated under the sum-of-the-years-digits method, the denominator of the depreciation rate...
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40. If the asset is depreciated under the sum-of the-years'-digits method, the denominator of the depreciation rate would be a. 55 b. 20 c. 15 d. 5 41. If the asset is acquired on January 1, 2016, and is depreciated under the sum-of-the-years'-digits method, first-year depreciation (rounded) would be a. $81,667 b. $60,000 c. $49,000 d. $20,417 Under any GAAP depreciation method, the maximum depreciation permitted over the asset's life is... 42. a. $255,000 b. $250,000 c. $245,000 d. $200,000...
40. If the asset is depreciated under the sum-of-the-years-digits method, the denominator of the depreciation rate would be... a. 55 b. 20 c. 15 d. 5 41. If the asset is acquired on January 1, 2016, and is depreciated under the sum-of-the-years'-digits method, first-year depreciation (rounded) would be... a. $81,667 b. $60,000 c. $49.000 d. $20,417 42. Under any GAAP depreciation method, the maximum depreciation permitted over the asset's life is ... a. $255,000 b. $250,000 c. $245,000 d. $200,000...
Chapter 4 Assignments 1 Modify What SUP's Straight-Line Depreciation Schedule You are to add another depreciation schedule for What SUP. Use the ch4-01_SLN_student_name.xls worksheet you created in this chapter. Add a new depreciation worksheet, labeled Asset 1003, using the Move or Copy Shortcut menu. The asset to be depreciated is a forge purchased on January 1, 2018, for $85,000. It has an estimated salvage value of $4,000 and is to be depreciated over 3 years using the straight-line method. Update...
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P11-11. (Depreciation for Partial Periods—SL, Act., SYD, and DDB) (LO 1, 2) On January 1, 2015, a machine was purchased for $90,000. The machine has an estimated salvage value of $6,000 and an estimated useful life of 5 years. The machine can operate for 100,000 hours before it needs to be replaced. The company closed its books on December 31 and operates the machine as follows: 2015, 20,000 hours; 2016, 25,000 hours; 2017, 15,000 hours; 2018, 30,000 hours; and 2019,...
Exercise 11-12 Depreciation methods; disposal; partial periods [LO11-2] Howarth Manufacturing Company purchased a lathe on June 30, 2014 at a cost of $105,000. The residual value of the lathe was estimated to be $9,000 at the end of a five-year life. The lathe was sold on March 31, 2018. for $27,000. Howarth uses the straight line depreciation method for all of its plant and equipment. Partial year depreciation is calculated based on the number of months the asset is in...
30. What is sum-of-the-vears'-digits depreciation for 2018 $586,667 b. $660,000 c. $720,000 d. $781,485 a. 31. If, at the end of 2019, Davis Company decides the equipment still has five more years of life beyond 12/31/19, with a salvage value of $200,000, what is straight-line depreciation for 2019? (Assume straight-line used in all years.) a. $240,000 b. $256.667 c. $290,000 d. $440,000 32. Property, plant and equipment is usually presented in the balance sheet at: Replacement costs less accumulated depreciation....
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