Question
On July 1, 2014, XYZ Containers purchased equipment that has an expected capacity of 300,000 units and no residual value. The machine cost $ 750,000
On July 1, 2014, XYZ Containers purchased equipment that has an expected capacity of 300,000 units and no residual value. The machine cost $ 750,000 and is to be depreciated using the units-of-production method. During the six months of 2014, 75,000 units of product were produced. At the beginning of 2015, engineers estimated that the machine can realistically be used to produce only another 187,500 units. During 2015, 125,000 units were produced. What amount would XYZ report as depreciation for 2014?
Can someone please help me i missed one day of class and i cnat figure it out. This is a problem from the book. This is not an assignment i need turn in its just to help me understand it
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