Question
Dr. Boylan bought a new machine for his company Boylans Brainiacs. The machine cost $31,000 with a $1,000 salvage value and a 5-year useful life.
Dr. Boylan bought a new machine for his company Boylans Brainiacs. The machine cost $31,000 with a $1,000 salvage value and a 5-year useful life.
Compute the Depreciation expense on the Income Statement and the related book value on the Balance Sheet for each of the years using the UNITS OF PRODUCTION METHOD OF DEPRECIATION Unit cost is $5. (C8-3)
UNITS I/S Depreciation Expense B/S Book Value
Year 1 1,000 ________________ _________________________
Year 2 2,000 ________________ _________________________
Year 3 1,000 ________________ _________________________
Year 4 0 ________________ _________________________
Year 5 2,000 ________________ _________________________
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