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MrRa [10]
3 years ago
14

At the beginning of 2017, your company buys a $34,000 piece of equipment that it expects to use for 4 years. The equipment has a

n estimated residual value of $2,000. The company expects to produce a total of 200,000 units. Actual production is as follows: 41,000 units in 2017, 49,000 units in 2018, 45,000 units in 2019, and 65,000 units in 2020.
Required:
a. Determine the depreciable cost.
b. Calculate the depreciation expense per year under the straight-line method.
c. Use the straight-line method to prepare a depreciation schedule.
d. Calculate the depreciation rate per unit under the units-of-production method.
e. Use the units-of-production method to prepare a depreciation schedule.
Business
1 answer:
Elodia [21]3 years ago
4 0

Answer:

32,000

8000

see below

.16

see below

Explanation:

I'm not really sure what the schedule is supposed to look like (im not good at accounting) exactly but i whipped up something real quick in excel and if you have any questions ask

the depreciable cost is just cost-salvage (the amount that's going to be depreciated) so for us its 34000-2000 or 32,000

the depreciation expense is just the depreciable cost divided by the useful live (32,000/4)=8000

see my attempt at a depreciation schedule below

The deprecation rate per unit is the depreciable cost divided by the total units

32000/200000= .16

and you can see below my attempt at the units of production schedule

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an increase in the ending accounts payable balance.

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How is the balance of accounts payable determined?

On a company's balance sheet, accounts payable are listed. Given that it is money owing to creditors and appears on the balance sheet under current liabilities, accounts payable is a liability. Current liabilities are a company's short-term debts, usually lasting less than three months.

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3 0
2 years ago
Which of the following is the correct order of market structure from most competitive to least?
ankoles [38]

Answer:

Perfect Competition, Monopolistic Competition, Oligopoly, Monopoly

Explanation:

In perfect competition, many sellers are competing to sell an identical product. The market has very many small suppliers. No single supplier dominates the market, meaning no seller has the power to influence the price. The market has very many buyers as well. Suppliers have the freedom to enter or exit the market with ease.

Monopolist competition has very many sellers selling similar but differentiated products. Due to the differentiated aspect, sellers can set the prices for their products. The market has very many buyers.

An oligopoly is where a  few big suppliers dominate the market. The oligopoly market may have other smaller suppliers whose market share is a small percentage. Oligopoly may stock or manufacture identical or differentiated products.

A monopoly is where a dominant supplier is selling a particular product without competition. Only one supplier is selling that type of product. An oligopoly can sell lifetime solutions through books.

3 0
3 years ago
In general, it's better to have a low inventory turnover ratio than a high one, as a low ratio indicates that the firm has an ad
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Answer:

b. False

Explanation:

Inventory Turnover tells us how fast the business is selling it's product. It measure the number of time an average inventory is completed its process from finished goods / Inventory to sales to customer. Higher the inventory turnover lower time of holding the inventory of each unit. So, the statement given is false.

5 0
3 years ago
Consider a four-step serial process with processing times given in the following list. There is one machine at each step of the
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Answer:

the hours after roundinf off = 54 hours

Explanation:

Solution :

The rate of system is defined by machine with largest time per unit i.e. bottleneck resource.

In this case, biottleneck is Step : 3 with time 30 min per unit.

So system requires 30 * 105 min = 30 * 105 / 60 hours = 52.5 hours at bottleneck.

time for first unit at Step 1 and 2 and for last unit at step 4 is - 25 + 15 + 20 - 60min - 1 hr.

So total time for system is 52.5 + 1 = 53.5 hours.

6 0
3 years ago
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snow_lady [41]

Answer: right back at ya

Explanation:

5 0
3 years ago
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