Marshall Company purchases a machine for $840,000. The machine has an estimated residual value of $80,000. The company expects the machine to produce four million units. The machine is used to make 620,000 units during the current period. If the units-of-production method is used, the depreciation rate is:

Multiple Choice

• $0.12 per unit.

• $1.35 per unit.

• $0.19 per unit.

• $1.23 per unit.