Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense at

Question:

Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense at December 31, 2012, if the double-declining-balance method were used?
a. $144,000
b. $145,600
c. $236,000
d. $240,000
Cox Inc. acquired a machine for $600,000 on January 1, 2011. The machine has a of $10,000 and a five-year useful life. Cox expects the machine to run for 15,000 machine hours. The machine was actually used for 4,800 hours in 2011 and 3,150 hours in 2012.
Salvage Value
Salvage value is the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life. As such, an asset’s estimated salvage value is an important...