A copy machine was purchased for $35,000. The machine is estimated to have a useful life of four years with a residual value of $3,000. It is estimated that the machine will make 2,000,000 copies. Using the units-of-activity method to depreciate the copy machine, what information is needed to calculate the first year's depreciation of 550,000 copies were made

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Business

Elliot Griffith

9 August, 06:43

A copy machine was purchased for $35,000. The machine is estimated to have a useful life of four years with a residual value of $3,000. It is estimated that the machine will make 2,000,000 copies. Using the units-of-activity method to depreciate the copy machine, what information is needed to calculate the first year's depreciation of 550,000 copies were made

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Deven Willis · Answer 1

Using the units-of-activity method to depreciate the copy machine, what information is needed to calculate the first year's depreciation of 550,000 copies were made. % use / assets cost

Explanation:

Net Value Dep. year End Net value.

32000 8800 23200

% use = 550000:2000000=0,275

Dep = %use x cost

0,275 x 32000 = 8800