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A machine that produces cellphone components is purchased on January 1, 2024, for $201,000. It is expected to have a useful life of four years
A machine that produces cellphone components is purchased on January 1, 2024, for $201,000. It is expected to have a useful life of four years and a residual value of $13,000. The machine is expected to produce a total of 200,000 components during its life, distributed as follows: 40,000 in 2024,50,000 in 2025,60,000 in 2026, and 50,000 in 2027. The company has a December 31 year end. (a) Calculate the amount of depreciation to be charged each year, using each of the following methods: 1 Straight-line method, 2units of production depreciation per product? calculate depreciate expenses from 2024 to 2027. 3. Double-diminishing balance method, calculate depreciation expense from 2024-2027
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