Answer:
See below and images.
Explanation:
For part 1 refer to the images attached of each depreciation method.
The double declining method uses the rate of straight line method and doubles it. Rate = 1 / Useful life
For part 2)
As the company wants maximum revenue recording in early years, it shall use the straight line depreciation method as in the first years, this yields the least depreciation when compared to other methods. Year 1 depreciation for each method are as follows,
Straight line = 19,800
Double declining = 43,600
Units of mileage method = 20,800
So the method that meets company's objectives is the straight-line method.
Answer:
The present value the expected costs of the new security and data management system is $-75,062.5
Explanation:
Kindly check attached picture for explanation
Answer and Explanation:
The Journal entries are shown below:-
1. Salaries expenses Dr, $1,950
To Salary payable $1,950
(Being salaries expense is recorded)
2. Interest expense Dr, $150
To Interest payable $150
(Being interest expense is recorded)
3. Accounts receivable Dr, $1,600
To Service revenue $1,600
(Being sales revenue is recorded)