A special purpose machine is to be depreciated as a linear function of use. It costs $25,000
and is expected to produce 100,000 units and then be sold for $5,000. Up to the end of the
third year, it has produced 60,000 units, and during the fourth year it produced 10,000
units. What is the depreciation for the fourth year and the BV at the end of the fourth
year?
and is expected to produce 100,000 units and then be sold for $5,000. Up to the end of the
third year, it has produced 60,000 units, and during the fourth year it produced 10,000
units. What is the depreciation for the fourth year and the BV at the end of the fourth
year?
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