A company buys equipment for $60,000, expects to use it for six years, and then sell it for $6,000. Using the straight-line method, the company should report annual depreciation for the equipment of:

$10,000.

$20,500.

$18,000.

$9,000.

Spangle Corporation uses the unit-of-production method to estimate depreciation. The company purchased a new machine for $20,000 that will produce an estimated 100,000 units over its useful life. The estimated residual value of the machine is $2,000. What is the depreciation rate per unit?

$1.18

$1.20

$0.20

$0.18

Labrador Inc. has the following information available for the current year:

Net sales	$755,000
Bad Debt Expense	$55,000
Accounts Receivable, Beginning of Year	$125,000
Accounts Receivable, End of Year	$60,000
Allowance For Doubtful Accounts, Beginning of Year	$47,000
Allowance For Doubtful Accounts, End of Year	$67,000

What was the amount of write-offs during the year?

$35,000

$67,000

$60,000

$0