Question
A company bought a machine for $75,000 on April 1, 2017. The estimated useful life was five years, and the salvage value was $3,000. Assume
A company bought a machine for $75,000 on April 1, 2017. The estimated useful life was five years, and the salvage value was $3,000. Assume that the estimated useful life in productive
units is 120,000. Units actually produced were 18,000 in 2017 and 30,000 in 2018.
Determine Accumulated Depreciation as of December 31, 2018, assuming the company uses the Units of Activity method for depreciation:
| A | $26,100 | |
| B | $28,800 | |
| C | $30,000 | |
| D | $18,000 | |
| E | $27,188 |
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Business Accounting Uk Gaap Volume 2
Authors: Alan Sangster, Frank Wood
1st Edition
0273718800, 9780273718802
