Copy equipment was acquired at the beginning of the year at a cost of $56,000 that has an estimated residual value of $8,000 and an estimated useful life of 5 years. It is estimated that the machine has an estimated 1,000,000 copies. This year 240,000 copies were made. Determine the (a) depreciable cost, (b) depreciation rate, and (c) the units-of-production depreciation for the year.
a) depriciation cost = 56000 - 8000 =48000
b) depriciation rate = 48000/1000000 =0.48
c)units of production depriciation = 0.48 * 240000 =115200
Copy equipment was acquired at the beginning of the year at a cost of $56,000 that...