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Please help me to answer this..Thank you! Beckman Company purchased a machine on January 1, 2016, at a cash cost of $49,000. Beckman also paid
Please help me to answer this..Thank you!
Beckman Company purchased a machine on January 1, 2016, at a cash cost of $49,000. Beckman also paid taxes of $1,000 and installation costs of $200. The estimated residual value was $5,400 and the estimated useful life is 7 years. The company uses straight-line depreciation computed monthly.
Required: A. What is the depreciation expense amount per year and per month?
B. What is the amount of accumulated depreciation at December 31, 2017 and the net book value of the equipment at December 31, 2017?
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