Busi 100 Take home test

Busi 100 Take home test - Dylan Green 715105476 Section 618...

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Dylan Green 715105476 Section 618 3. A) Depreciation rate = 1 40 = .025 Depreciable Cost = 1,200,000 - (1,200,000 ´ .05) =1,140,000 Residual value = 60,000 Year Asset Cost Depreciation Rate Depreciable Cost Depreciation Expense Accumulated Depreciation Asset Book Value 0 \$1,200,000 1,200,000 1 .025 1,140,000 28,500 28,500 1,171,500 2 1,140,000 28,500 57,000 1,143,000 3 1,140,000 28,500 85,500 1,114,500 (And So On…) (And So On…) (And So On…) (And So On…) (And So On…) 15 .025 1,140,000 28,500 427,500 \$772,500 Asset is 15 years old. B) Depreciation Rate = 87,300 - (87,300 ´ .12) 100,000 = .10476 per unit Depreciable Cost = 87,300 - (87,300 ´ .12) = 76,824 Residual Value = 10,476 Year Asset Cost Depreciation Rate Number of Units Depreciation Expense Accumulated Depreciation Asset Book Value 0 \$87,300 87,300 1 \$.76824 12,500 9,603 9,603 77,697 2 . 76824 12,500 9,603 19,206 68,094 3 . 76824 12,500 9,603 28,809 58,491 4 . 76824 12,500 9,603 38,412 48,888 Asset is 4 years old C) Depreciation Rate = 1 8 ´ 2 = 1 4 Original Cost = x ´ .578125 = \$101,750 ® x = \$176,000 Depreciable Cost = 176,000 - (176,000 ´ .15) =149,600 Residual Value = \$26,400

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Dylan Green 715105476 Section 618 Year Asset Cost DDB Rate Asset Book Value Depreciation Expense Accumulated Depreciation Asset Book Value 0 \$176,000 176,000 1 .25 176,000 44,000 44,000 132,000 2 .25 132,000 33,000 77,000 99,000 3 .25 99,000 24,750 101,750 74,250 Asset is 3 years old
Dylan Green 715105476 Section 618 2.A) Inventory at FIFO Cost Beginning Balance (600 units @ \$15.76) 9,460

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Busi 100 Take home test - Dylan Green 715105476 Section 618...

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