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Table 10-8 Zane Manufacturing On January 1, 2015, Zane Manufacturing Company purchased a machine for $40,000. The company expects to use the machine a total
Table 10-8 Zane Manufacturing On January 1, 2015, Zane Manufacturing Company purchased a machine for $40,000. The company expects to use the machine a total of 24,000 hours over the next 6 years. The estimated sales price of the machine at the end of 6 years is $4,000. The company used the machine 8,000 hours in 2015 and 12,000 in 2016. Refer to Table 10-8. What is the book value of the machine at the end of 2016 if the company uses straight-line amortization? OA. $17,778 OB. $20,000 OC. $10,000 OD. $28,000
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