lab homework\nquestion 4, 17.1.7\nhw score: 22.5%, 9 of 40 points\npoints: 0 of 3\nsave\nmake a partial…
lab homework\nquestion 4, 17.1.7\nhw score: 22.5%, 9 of 40 points\npoints: 0 of 3\nsave\nmake a partial depreciation schedule for the first year using the units - of - production depreciation for a laser engraver that costs $39,000 and has a scrap value of\n$6,000. the engraver has an expected life of 500,000 hours and is expected to last 15 years.\n\ncomplete the table below.\n\n(type an integer or decimal rounded to the nearest cent as needed.)
Answer
Explanation:
Step1: Calculate the depreciation per hour
The formula for depreciation per hour is (\text{Depreciation per hour}=\frac{\text{Cost}-\text{Scrap value}}{\text{Expected life (in hours)}}). Here, cost (C = 39000), scrap value (S=6000), and expected life (L = 500000) hours. (\text{Depreciation per hour}=\frac{39000 - 6000}{500000}=\frac{33000}{500000}=0.066)
Step2: Calculate the annual depreciation
The formula for annual depreciation is (\text{Annual depreciation}=\text{Depreciation per hour}\times\text{Hours used}) Given hours used (h = 24633) (\text{Annual depreciation}=0.066\times24633 = 1625.778\approx1625.78)
Step3: Calculate the accumulated depreciation
Since it is the first - year, (\text{Accumulated depreciation}=\text{Annual depreciation}) So, accumulated depreciation (= 1625.78)
Step4: Calculate the end - of - year book value
The formula for end - of - year book value is (\text{End - of - year book value}=\text{Cost}-\text{Accumulated depreciation}) (\text{End - of - year book value}=39000-1625.78 = 37374.22)
Answer:
| Year | Hours used | Annual depreciation | Accumulated depreciation | End - of - year book value |
|---|---|---|---|---|
| 1 | 24633 | (1625.78) | (1625.78) | (37374.22) |