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Marshall Products, Inc. purchased a truck for $35,000 on January 1. The truck had an estimated useful life of 100,000 miles and an estimated residual
Marshall Products, Inc. purchased a truck for $35,000 on January 1. The truck had an estimated useful life of 100,000 miles and an estimated residual value of $5,000. In the third year of ownership, the car was driven 25,000 miles. Using the units of production method, the amount of depreciation expense for year 3 was
$4,938. | ||
$6,000. | ||
$7,500. | ||
$8,750. |
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