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Katie's Cards is a company that manufactures and sells cards and stationary. On 1/5/20, the company purchased a new printing press for $400,000 cash. The
Katie's Cards is a company that manufactures and sells cards and stationary. On 1/5/20, the company purchased a new printing press for $400,000 cash. The expected residual value is $20,000 and the useful life is 4 years. The company estimates that the press will be able to produce 200,000 cards over its useful life (75,000 cards in 2020 and 50,000 in 2021, 40,000 cards in 2022, and 35,000 cards in 2023) If Katie's Cards uses the double declining balance method of depreciation what amount would they record in 2021 (year 2) for the depreciation expense for this machine? What will be the balance for accumulated depreciation as of December 31 2021? (the end of the year 2) A What will be the carrying value as of December 31, 2021? (end of year 2) A/
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