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Marianna [84]
2 years ago
10

On January​ 1, 2018,​ Jordan, Inc. acquired a machine for $ 1 comma 040 comma 000. The estimated useful life of the asset is fiv

e years. Residual value at the end of five years is estimated to be $ 55 comma 000. Calculate the depreciation expense per year using the straightminusline method.
Business
2 answers:
Keith_Richards [23]2 years ago
5 0

Answer:

$197,000

Explanation:

Depreciation is the systematic allocation of the cost of an asset to the income statement over the estimated useful life of that asset.

It is determined as the depreciable value of the asset over the estimated useful life of the asset where the depreciable value is the difference between the cost and salvage value of the asset

Mathematically, using the straight line method , the annual depreciation

= (cost - salvage value)/estimated useful life

= ($1,040,000 - $55,000)/5

= $197,000

romanna [79]2 years ago
4 0

Answer:

Annual depreciation= $197,000

Explanation:

Giving the following information:

Purchasing price= $1,040,000

Residual value= $55,000

Useful life in years= 5

<u>Under the straight-line method, the annual depreciation is the same during the useful life of the machine. To calculate the annual depreciation, we need to use the following formula:</u>

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (1,040,000 - 55,000)/5= $197,000

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Answer:

The maximum interest rate which the bank needs to offer the loan is 3%

Explanation:

The maximum interest rate which the bank needs to offer the loan is computed as:

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where

Amount received in one year is $6,180

Amount invested today is $6,000

Putting the values above:

Maximum interest rate = ($6,180 - $6,000) / $6,000

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Which of the following is true about corporate cultures?a. Corporate cultures are not influenced by the people comprising that o
vladimir1956 [14]

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Corporate cultures can hinder individuals in making the "right" decisions.-c.

6 0
3 years ago
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4 0
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Feather Company's inventory is recorded at its historical cost of $100,000. The replacement cost currently is $95,000; estimated
Liula [17]

Answer:

B. $97000

Explanation:

Given that

Estimated selling price = 102000

Estimated selling cost = 5000

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Suzy’s Cool Treatz is a snow cone stand near the local park. To plan for the future, the owner wants to determine her cost behav
prisoha [69]

Answer:

Cost= $6,242.18

Explanation:

Giving the following information:

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Suzy uses the high-low method to determine her operating cost equation.

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