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H.W. please help On January 2, Gannon'Co. purchases and installs a new machine costing $312,000 with a ve-year life and an estimated $28,000 salvage value.
H.W. please help
On January 2, Gannon'Co. purchases and installs a new machine costing $312,000 with a ve-year life and an estimated $28,000 salvage value. Management estimates the machine, will produce 1,136,000 units of product during its life. Actual production of units is as follows: year 1: 245,600; year 2: 230,400; year 3: 227,000; year 4: 232,600; and year 5: 211,200. The total number of units produced by the end of year 5 exceeds the original estimate this difference was not predicted. (The machine must not be depreciated below its estimated salvage value.) Compute depreciation for each year (and total depreciation for all years combined) for the machine under straight-line and units-of-production depreciation methods. You will use tIie form for Problem 9 and then upload the form to this problem. Note: You do not have to use the area for calculating the units of production. This is just a work area. If you do use it, make sure that your nal answers are put into the table with straight line depreciation
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