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For Each of the Following Fixed Assets, Determine the Depreciation

Question 155

Essay

For each of the following fixed assets, determine the depreciation expense and the book value for the dates requested:
Disposal date is N/A if asset is still in use.
Method: SL = Straight Line; DDB = Double Declining Balance
Assume the estimated life was 5 years for each asset.
 Depr Expense 2011  Depr Method  Disposal date  Purchase Date  Residual Value  Cost  Item  SL  N/A 7/1/2011$4,000$40,000 A  SL  S/31/2011 1/1/2009$5,000$50,000 B  DDB  N/A 10/1/2011$2,000$60,000 C  DDB 4/1/20111/1/2010$10,000$80,000 D \begin{array}{|c|l|l|l|l|l|l|}\hline \text { Depr Expense 2011 } & \text { Depr Method } & \text { Disposal date } & \text { Purchase Date } & \text { Residual Value } & \text { Cost } & \text { Item } \\\hline & \text { SL } & \text { N/A } & 7 / 1 / 2011 & \$ 4,000 & \$ 40,000 & \text { A } \\\hline & \text { SL } & \text { S/31/2011 } & 1 / 1 / 2009 & \$ 5,000 & \$ 50,000 & \text { B } \\\hline& \text { DDB } & \text { N/A } & 10 / 1 / 2011 & \$ 2,000 & \$ 60,000 & \text { C } \\\hline & \text { DDB } & 4 / 1 / 2011 & 1 / 1 / 2010 & \$ 10,000 & \$ 80,000 & \text { D } \\\hline & & & & & & \\\hline\end{array}

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