https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz en-us 2020-08-17 02:17:48 UTC 2025-12-30 22:43:38 UTC hello@padlet.com cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682140115 A machinery was purchased by ABC Inc. on January 1, 2016. The asset was acquired for a total cost of P1,000,000. The estimated useful life of the machinery is 5 years. The machinery is intended to be used for the production of inventory. It is expected that the machinery will produce a total of 100,000 units of inventory before it is depreciated to its salvage value of P50,000. The pattern of production is 30,000 units in the 1st year; 25,000 in the 2nd year; 20,000 in the 3rd year; 15,000 in the 4th year; and 10,000 in the 5th year. The company’s fiscal year ends on December 31.]]> 2020-08-17 02:19:20 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682140115 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682142344 1,000,000 cost
(50,000) residual
=950,000
÷5yrs    useful life
=190,000 depreciation per year]]> 2020-08-17 02:22:13 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682142344 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682142708 2020-08-17 02:22:42 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682142708 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682142945 Useful life= 5
Residual Value = 50,000

Year 1: 1M * .40 = 400,000
Year 2: 600k * .40 = 240,000
Year 3: 360k * .40 = 144,000
Year 4: 216k* .40= 86,400
Year 5: 129.6k *- 50,000 = 79,600
Residual value=50,000



]]> 2020-08-17 02:23:01 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682142945 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682143150 Declining Rate = 150% / 5 years
= 30% or .3

               CA              Depreciation
year 1 = 1,000,000         300,000
year 2 = 700,000             210,000
year 3 =  490,000            147,000
year 4 =  343,000            146,500
year 5 =    146,500

YEAR 4 and 5:
(102,900 + 190,100)/2
=146,500

 ]]> 2020-08-17 02:23:17 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682143150 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682143279 Cost- 1,000,000
Less: Salvage Value- (50,000)
Depreciable Cost- 950,000
Year 1: 950,000 * (30,000/100,000) = 285, 000
Year 2: 950,000 * (25,000/100,000) = 237,500
Year 3: 950,000 * (20,000/100,000) = 190,000
Year 4: 950,000 * (15,000/100,000) = 142,500
Year 5: 950,000 * (10,000/100,000) = 95,000 ]]> 2020-08-17 02:23:28 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682143279 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682144723 Suppose the machinery was depreciated using the straight-line method for the first 2 years. Subsequently, due to new information, it was determined that the sum-of-the-years method is more appropriate to reflect the asset's use. The useful life was also revised to 4 years from the date of acquisition, and the estimated salvage value was changed to P10,000. Compute for the accumulated depreciation at the end of the third year of use.]]> 2020-08-17 02:25:36 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682144723 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682145921 Suppose the machinery was depreciated using the straight-line method. On the third year, a cost of P100,000 was incurred to increase the productivity of the asset and extend its useful life by an additional 1 year. On the fourth year, P20,000 was incurred was made to repair a damaged gear inside the machinery. Compute for the carrying amount of the machinery at the end of the fourth year.

]]> 2020-08-17 02:27:14 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682145921 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682146260 IC 1,000,000
dep'n (2yrs) 380,000
CA, 1/1/18    620,000

useful life 4 yrs
Salvage Value 10, 000
SYD 3

DC   610000
Multiply: (2/3)
Dep'n, 1/1/18  406, 667

Dep'n (first 2 yrs) 380,000
Dep'n (3rd yr)   406,667
Accumulated Dep'n P786,667]]> 2020-08-17 02:27:47 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682146260 cresmundoarml https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682146379 2020-08-17 02:27:59 UTC https://padlet.com/cresmundoarml/gt1gi4n8pu7stwcz/wish/682146379