Question
A machine costing $956,250 with a five-year useful life and a $95,625 salvage value is installed in the factory on January 1. The factory manager
A machine costing
$956,250
with a five-year useful life and a
$95,625
salvage value is installed in the factory on January 1. The factory manager estimates the machine will produce 25,500 units of product during its life. It actually produces the following units: 4,100 in Year
1;5,100
in Year
2;6,100
in Year
3;6,100
in Year 4; and 4,100 in Year 5.\ Calculate annual depreciation expense using the straight-line, units-of-production, and double-declining balance methods.\ \\\\table[[,Straight-line,Units-of-production,\\\\table[[Double-declining],[balance]]],[Year 1,,,],[Year 2,,,],[Year 3,,,],[Year 4,,,],[Year 5,,,],[Totals,,,]]
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