Depreciation Method Assignment | Top Universities

Question 4 In recent years, Pharoah 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, Salvage Useful Life Depreciation Method Machine Acquired Cost Value (in years) Jan. 1, 2015 $126,500 $38,500 Straight-line July 1, 2016, 5 75,000 10,100 Declining-balance Nov. 1, 2016, 79,200 8,200 Units-of-activity For the declining-balance method,

Pharoah Company uses the double-declining rate. For the units-of-activity method, total machine hours are expected to be 35,500. Actual hours of use in the first 3 years were: 2016, 770; 2017, 6,000; and 2018, 7,800. Compute the amount of accumulated depreciation on each machine at December 31, 2018. MACHINE 1 MACHINE 2 MACHINE 3 Accumulated Depreciation at December 31 LINE TO TEXT LINK TO TERT VIDEO SIMILAR PROBLE machine 2 was purchased on April 1 instead of July 1, what would be the depreciation expense for this machine. Get Accounting Homework Help Today.