Chapter 18 Homework assignment
1.Use the straight line method to depreciate the following:
a.Asset book value=$10,000
b.Life of asset=4 years
c.Depreciation per year=
2.Use the units-of-production method to depreciate the following:
a.Asset book value = $35,000
b.Total estimated units of production for the life of the asset =140,000 units
c.Units produced so far =18000 units
d.Depreciation at this point=
3.Use the sum of the years digits to depreciate the following for EACH YEAR…
a.Asset book value =$40,000
b.Estimated life of asset =6 years
c.Depreciation per year=?
d.Salvage value (if any?)
4.Use the MACRS table on page 358 to compute the following:
a.Asset book value=$18,000
b.Asset is part of the five year class
c.Total depreciation per year( 6 years here to calculate)
d.Salvage value (if any)?
5.Compute partial year depreciation for the following using the declining balance method
a.Book value of asset =$27,000
b.Estimated life of asset =9 years
c.Depreciation at the end of 6 months=?
d.Depreciation at the end of 14 months+?