Use the following information to answer Questions 2830: On January 2, 2018, a company purchases a machine for $11,000 and estimates that it will have a 10-year life and a residual value of $1,000. It is depreciating the machine for book purposes under the straight-line method.

29. What is the journal entry to record depreciation for a manufacturing company that uses the machine entirely for the production of inventory? a. Depreciation Expense 1,000 Accumulated DepreciationMachine 1,000 b. InventoryWork-In-Process OH 1,000

30.How is depreciation recorded for a manufacturer using the machine 70% for the production of inventory? a. InventoryWork-In-Process OH 700 Depreciation Expense 300 Accumulated DepreciationMachine 1,000 b. InventoryWork-In-Process OH 1,000

Use the following information to answer Questions 3133: On September 2, 2018, a calendar-year company purchases a used machine (5-year property) for $510,000. The company takes $500,000 of Sec. 179 but elects out of 100% bonus depreciation 31. What is the maximum tax deduction for the machine in 2018? a. $250,000 b. $500,000 c. $502,000 d. $510,000 Accumulated DepreciationMachine 1,000 c. InventoryWork-In-Process OH 3,600 Depreciation Expense 400 InventoryWork-In-Process OH 4,000 d. Depreciation Expense 1,000 Accumulated DepreciationMachine 1,000 Accumulated DepreciationMachine 1,000 c. Depreciation Expense 1,000 InventoryWork-In-Process OH 1,000 d. InventoryWork-In-Process OH 4,000 Accumulated DepreciationMachine 4,000