A radio service panel truck initially cost P560,000. Its resale value at the end of the 5th year of the useful life is estimated at P150,000. By means of declining balance method, determine the depreciation charge for the second year. A. P99,658.41 B. P99,128.45 C. P99,290.00 D. P99,378.45
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A radio service panel truck initially cost P560,000. Its resale value at the end of the 5th year of the useful life is estimated at P150,000. By means of declining balance method, determine the
A. P99,658.41
B. P99,128.45
C. P99,290.00
D. P99,378.45
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- A radio service panel truck initially costs P100T. Its resale value at the end of the fifth year is estimated at P5T. Determine year 3 depreciation using Matheson method. a. P13,598.993 b. P24,756.951 c. P7,469.927 d. P27,535.412Wildhorse Company purchased a computer for $9,440 on January 1, 2019. Straight-line depreciation is used, based on a 5-year life and a $1,180 salvage value. On January 1, 2021, the estimates are revised. Wildhorse now feels the computer will be used until December 31, 2022, when it can be sold for $590. Compute the 2021 depreciation. (Round answer to 0 decimal places, eg. 45,892) Depreciation expense, 2021 $The depreciation schedule for certain equipment has been arrived at by various methods. The estimated salvage value of the equipment at the end of its 7 years useful life is $366. Identify the resulting depreciation schedules. YEAR I || 1 2 3 4 5 6 7 IV $1335 2336.25 2775 3632 $1335 2002.5 1982 2273 $1335 1668.75 1416 1423 $1335 1335 1011 891 $1335 1001.25 722 558 $1335 667.5 515 349 $1335 333.75 368 219 Which scheme represents DDB depreciation and how much is the first year depreciation? a. III, $2775 O b. 1, $1335 O c. IV, $3632 O d. II, $2336
- The depreciation schedule for certain equipment has been arrived at by various methods. The estimated salvage value of the equipment at the end of its 7 year useful life is $700. Identify the resulting depreciation schedules. Year I II III IV 1 $1,329 $2,325 $2,857 $3,161 2 $1,329 $1,993 $2,041 $2,162 3 $1,329 $1,661 $1,458 $1,478 4 $1,329 $1,329 $1,041 $1,011 5 $1,329 $ 996 $ 744 $ 692 6 $1,329 $ 664 $ 531 $ 473 7 $1,329 $ 332 S 379 $ 323 Which scheme represents DB depreciation? Select one: II III IV IWhat is the depreciation deduction, using 200% DB method, after year 4 for an asset that costs #67894 and has an estimated salvage value of $7,000 at the end of its 7-year useful life? Round your answer to 2 decimal places. Add your answerA piece of machinery at a maunfacturing plant has a cost basis of $50,000, and a salvage value of $9,000 after producing 32,000 units. Using units-of-production depreciation, what is the allowed depreciation charge per unit. Express your answer in $ to the nearest $0.01.
- An equipment costs P10,000 with a salvage value of P500 at the end of 10 years. Calculate the annual depreciation cost by sinking fund method at 4% interest. A. P791.26 B. P950.00 C. P971.12 D. P845.32A new municipal refuse collection vehicle can be purchased for $84,000. Itsexpected useful life is six years, at which time the market value and book value will be zero. Before-tax cash flow (BTCF) will be +$18,000 per year over the six-year life of the vehicle. Solve, a. Use straight-line depreciation, an effective income tax rate of 40% and an after-tax MARR of 12% to determine the present worth of the investment. b. What is the after-tax internal rate of return? c. Is this vehicle a sound investment? Explain your answer.8. An equipment cost P 56,000. Its resale value at the end of the 5th year is P 15,000,00. Using Declining Balance Method, determine the depreciation charge for the 2nd year. Ans. P.9,977.86
- What is the expected after-tax cash flow from selling a piece of equipment if TwoPlus purchases the equipment today for $162,000.00, the tax rate is 20.10 percent, the equipment is sold in 4 years for $36,600.00, and MACRS depreciation is used where the depreciation rates in years 1, 2, 3, 4, and 5 are 20%, 32%, 19%, 12%, and 10%, respectively? ос $27,026.46 (plus or minus $10) $34,778.94 (plus or minus $10) $57,897.96 (plus or minus $10) $31,522.74 (plus or minus $10) None of the above is within $10 of the correct answerAn industrial plant bought a generator set for P120, 000. Other expenses including installation amounted to P10, 000. The generator is set to have a life of 15 years with a salvage value at the end of life of P8, 000. What is the depreciation charge during the 12th year by SYD method? a.) P 3, 105 b.) P 2, 620 c.) P 4, 067 d.) P 4, 784An engineering firm purchased a second hand truck for P 530,000 and paid P 15,000 for freightand taxes to the job site. The equipment has a normal life of 10 years with a trade in value of P50,000 against the purchase of a new equipment at the end of the life. Determine the annualdepreciation cost by the straight line method.