On March 10, 2019, Ivanhoe Company sells equipment that itpurchased for $230,400 on August 20, 2012. It was originallyestimated that the equipment would have a life of 12 years and asalvage value of $20,160 at the end of that time, and depreciationhas been computed on that basis. The company uses the straight-linemethod of depreciation. Compute the depreciation charge on thisequipment for 2012, for 2019, and the total charge for the periodfrom 2013 to 2018, inclusive, under each of the followingassumptions with respect to partial periods.
1. Depreciation is computed for the exact period of time duringwhich the asset is owned. (Use 365 days for the base and recorddepreciation through March 9, 2019.)
5. Depreciation is computed on additions from the beginning ofthe month following acquisition and on disposals to the beginningof the month following disposal.
(Round depreciation per day to 2 decimal places, e.g. 15.64 andfinal answers to 0 decimal places, e.g. 45,892.)
On March 10, 2019, Ivanhoe Company sells equipment that itpurchased for $230,400 on August 20, 2012. It was originallyestimated that the equipment would have a life of 12 years and asalvage value of $20,160 at the end of that time, and depreciationhas been computed on that basis. The company uses the straight-linemethod of depreciation. Compute the depreciation charge on thisequipment for 2012, for 2019, and the total charge for the periodfrom 2013 to 2018, inclusive, under each of the followingassumptions with respect to partial periods.
1. Depreciation is computed for the exact period of time duringwhich the asset is owned. (Use 365 days for the base and recorddepreciation through March 9, 2019.) 5. Depreciation is computed on additions from the beginning ofthe month following acquisition and on disposals to the beginningof the month following disposal. |
(Round depreciation per day to 2 decimal places, e.g. 15.64 andfinal answers to 0 decimal places, e.g. 45,892.)