7) Spacely's Sprockets purchased a machine on September 1 for $400,000. The machine life was estimated at six years or 500,000 units of product with a $5,000 trade-in value. During its second year, the machine produced 87,000 units of product. Assuming unit-of-production depreciation, calculate the machine's second year depreciation. a) $69,600 b) $66,667 c) $65,250 500,000 d) $62,500 e) $31,250 $400,000 08. 87,000 SA AA din an