A company purchased a weaving machine for $298,810. The machine has a useful life of 8 years and a salvage value of $15,500. It is estimated that the machine could produce 763,000 bolts of woven fabric over its useful life. In the first year, 111,500 bolts were produced. In the second year, production increased to 115,500 units. Using the units-of-production method, what is the amount of depreciation expense that should be recorded for the second year? Multiple Choice $83,990 O $42.735 $45,233 $41,255
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- Montello Inc. purchases a delivery truck for $25,000. The truck has a salvage value of $6,000 and is expected to be driven for 125,000 miles. Montello uses the units-of-production depreciation method, and in year one it expects to use the truck for 26,000 miles. Calculate the annual depreciation expense.A machine costing 350,000 has a salvage value of 15,000 and an estimated life of three years. Prepare depreciation schedules reporting the depreciation expense, accumulated depreciation, and book value of the machine for each year under the double-declining-balance and sum-of-the-years-digits methods. For the double-declining-balance method, round the depreciation rate to two decimal places.During the current year, Arkells Inc. made the following expenditures relating to plant machinery. Renovated five machines for $100,000 to improve efficiency in production of their remaining useful life of five years Low-cost repairs throughout the year totaled $70,000 Replaced a broken gear on a machine for $10,000 A. What amount should be expensed during the period? B. What amount should be capitalized during the period?
- During the current year, Arkells Inc. made the following expenditures relating to plant machinery. Renovated seven machines for $250,000 to improve efficiency in production of their remaining useful life of eight years Low-cost repairs throughout the year totaled $79,000 Replaced a broken gear on a machine for $6,000 A. What amount should be expensed during the period? B. What amount should be capitalized during the period?Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $86,200. The machine's useful life is estimated at 10 years, or 396,000 units of product, with a $7,000 salvage value. During its second year, the machine produces 33,600 units of product. Determine the machine’s second-year depreciation using the units-of-production method.Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $43,500. The machine’s useful life is estimated at 10 years, or 385,000 units of product, with a $5,000 salvage value. During the first year , the machine produces 40,000 units of product and 32,500 units of the product in the second year. Determine the machine’s first- and second-year depreciation using a. Double-declining -balance method.
- Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $43,500. The machine’s useful life is estimated at 10 years, or 385,000 units of product, with a $5,000 salvage value. During the first year , the machine produces 40,000 units of product and 32,500 units of the product in the second year. Determine the machine’s first- and second-year depreciation using Units -of – production methodRamirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $43,500. The machine’s useful life is estimated at 10 years, or 385,000 units of product, with a $5,000 salvage value. During the first year , the machine produces 40,000 units of product and 32,500 units of the product in the second year. Determine the machine’s first- and second-year depreciation using a. The straight-line methodRamirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $48,400. The machine's useful life is estimated at 10 years, or 394,000 units of product, with a $9,000 salvage value. During its second year, the machine produces 33,400 units of product. Determine the machine’s second-year depreciation using the units-of-production method. Units-of-production depreciation Choose numerator choose denominator annual depreciation / = Depreciation per unit Year 1 Annual Production ( units) Depreciation expense. year 2
- Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $84,200. The machine's useful life is estimated at 20 years, or 391,000 units of product, with a $6,000 salvage value. During its second year, the machine produces 33,100 units of product. Determine the machine's second-year depreciation using the units-of-production method. Choose Numerator: Year Year 2 Units of production Depreciation Choose Denominator: Annual Production (units) Annual Depreciation Expense Depreciation expense per unit Depreciation ExpenseA company purchased a weaving machine for $190,000. The machine has a useful life of 8 years and a residual value of $10,000. It is estimated that the machine could produce 75,000 bolts of woven fabric over its useful life. In the first year, 15,000 bolts were produced. In the second year, production increased to 19,000 units. Using the units-of-production method, what is the amount of depreciation expense that should be recorded for the second year?A company purchased a weaving machine for $206,520. The machine has a useful life of 8 years and a residual value of $11,000. It is estimated that the machine could produce 752,000 bolts of woven fabric over its useful life. In the first year, 106,000 bolts were produced. In the second year, production increased to 110,000 units. Using the units-of-production method, what is the amount of depreciation expense that should be recorded for the second year? 18 Multiple Choice $28,600. $56,160, $27,560. pe here to search 9:08 PM 96% 3/21/2022