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On June 1, a machine costing $660,000 with a 5-year life and an estimated $50,000 salvage value was purchased. It was also estimated that the
On June 1, a machine costing $660,000 with a 5-year life and an estimated $50,000 salvage value was purchased. It was also estimated that the machine would produce 200,000 units during its life. Actual production would be 40,000 units per year for all five years.
Using the depreciation template provided, determine the amount of depreciation expense for the third year under each of the following assumption
The company uses the units-of-production method of depreciation.
Module 6: Critical Thinking Template Option 1 (Depreciation Template) t amounts $0 Cost Salvage value Depreciable cost Useful life Useful life in units of $0 ars ion Units of Production Depreciation per unit Depreciable cost - Cost- Salvage Value Useful life in units of on Depreciation r unit Depreciation expense Depreciation per unit x Units of production 0.00 Depreciation expense Number of Depreciation Accumulated Book Depreciation Value Annua UnitsDepreciation per unitExpense S0 Year 3 Cost of item Salvage value is not ciatedStep by Step Solution
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