8. (5 points) On 01-01-15, G purchased a machine for$15,000,000. Installation costs incurred and paid for on 01-01-15were $10,000. G started using the machine on 01-01-15. G estimatesit will use the machine for 5 years. At the end of the 5th year, Gwill have to dispose of the machine at an estimated cost of$1,250,000. Assume as of 01-01-15 the interest rate on US Treasurysecurities was 0.75% and G’s credit standing required a 2.25% riskpremium. G uses a sum-of-the years digits depreciation method andassumes no salvage value. a. What amount should G report on its balance sheet as a fixedasset (machine) as of 12-31-15? b. Prepare an excel spreadsheet that clearly identifies andclearly labels G’s ARO obligation balance as of 12-31 for everyyear from 2015 to 2019 AND G’s accretion expense for every year for2015 to 2019. c. Prepare the entries G should make related to the equipmentand its ARO for the year ended 12-31-16 AND 12-31-18? d. What amount should G report on its balance sheet as its AROas of 12-31-17? . . .
https://proficientwriters.net/wp-content/uploads/2020/04/logo-300x60.png 0 0 Paul https://proficientwriters.net/wp-content/uploads/2020/04/logo-300x60.png Paul2021-04-28 12:36:462021-04-28 12:36:468. (5 points) On 01-01-15, G purchased a machine for$15,000,000. Installation costs incurred and pai