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Moyes Toys purchased a machine for 156,248 at the beginning of its operations. The machine has an expected life of four years and an expected
Moyes Toys purchased a machine for 156,248 at the beginning of its operations. The machine has an expected life of four years and an expected residual value of 4,000. The machine is depreciated using the straight-line method and, for Year 2, the reported profit for the year was 84,200. During Year 2, a new accountant was employed, who argued that the machine should have been depreciated at a rate of 60% using the reducing-balance method. What would be the reported profit for Year 2, if the machine had been depreciated from the beginning of its life using the reducing-balance method rather than the straight-line method? C... (Round final answer to nearest 100.)
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