QUESTION 1 1. Choose the one alternative that best completes the statement or answers the question. Solve the problem. Round dollar amounts to the nearest dollar. Find the yearly straight-line depreciation of a home theatre system including the receiver,
QUESTION 1
1.Choose the one alternative that best completes the statement or answers the question. Solve the problem. Round dollar amounts to the nearest dollar.
Find the yearly straight-line depreciation of a home theatre system including the receiver, main audio speakers, surround sound speakers, audio and video cables, and blue-ray player that costs $3100 and has a salvage value of $900 after an expected life of 5 years in a hotel lobby.
$900
$180
$440
$620
10 points
QUESTION 2
1.Solve the problem. Round unit depreciation to nearest cent when making the schedule, and round final results to the nearest cent.
A barge is expected to be operational for 280,000 miles. If the boat costs $19,000.00 and has a projected salvage value of $1900.00, find the unit depreciation.
$0.06
$0.60
$0.70
$0.07
10 points
QUESTION 3
1.Solve the problem. Round unit depreciation to nearest cent when making the schedule, and round final results to the nearest cent.
A construction company purchased a piece of equipment for $1520. The expected life is 9000 hours, after which it will have a salvage value of $380. Find the amount of depreciation for the first year if the piece of equipment was used for 1800 hours. Use the units-of-production method of depreciation.
$177.33
$136.50
$304.00
$228.00
10 points
QUESTION 4
1.Solve the problem using the information given in the table and the weighted-average inventory method. Round to the nearest cent.
Calculate the average unit cost.
Date of PurchaseUnits PurchasedCost Per Unit
Beginning Inventory25$32.12
March 170$25.24
June 165$36.24
August 140$20.81
$32.90
$143.95
$28.79
$24.77
10 points
QUESTION 5
1.Solve the problem using the information given in the table and the weighted-average inventory method. Round to the nearest cent.
Calculate the cost of ending inventory.
Date of PurchaseUnits PurchasedCost Per Unit
Beginning Inventory25$33.18
March 170$28.60
June 165$38.75
August 140$21.49
Units Sold68
$1461.32
$3116.05
$4298.00
$4098.50
10 points
QUESTION 6
1.Solve the problem using the information given in the table and the weighted-average inventory method. Round to the nearest cent.
Calculate the cost of goods sold.
Date of PurchaseUnits PurchasedCost Per Unit
Beginning Inventory25$34.13
March 170$27.34
June 165$35.61
August 140$20.77
Units Sold62
$4079.63
$1832.87
$9992.13
$5912.50
10 points
QUESTION 7
1.Solve the problem. Use a fraction for the rate and round dollar amounts to the nearest cent.
Jeremy James is depreciating solar panels purchased for $3600. The scrap value is estimated to be $900. He will use double-declining-balance and depreciate over 6 years. What is the first year’s depreciation?
$1200.00
$450.00
$600.00
$900.00
10 points
QUESTION 8
1.Solve the problem. Use a fraction for the rate and round dollar amounts to the nearest cent.
Eric Johnson is depreciating a kitchen oven range purchased for $1720. The scrap value is estimated to be $172. He will use double-declining-balance and depreciate over 30 years. What is the first year’s depreciation?
$57.33
$103.20
$51.60
$114.67
10 points
QUESTION 9
1.Solve the problem. Use a fraction for the rate and round dollar amounts to the nearest cent.
Jane Frankis is depreciating a train engine purchased for $86,000. The scrap value is estimated to be $5000. She will use double-declining-balance and depreciate over 40 years. What is the first year’s depreciation?
$2025.00
$4050.00
$4300.00
$2150.00
10 points
QUESTION 10
1.Find the depreciation for the indicated year using MACRS cost-recovery rates for the properties placed in service at midyear. Round dollar amounts to the nearest cent.
Property ClassDepreciation YearCost of Property
3-year3$86,600.00
$28,863.78