Calculate the number of units the equipment was used

Reference no: EM13259235

ABC Company purchased a piece of equipment on May 1, 2004 for $125,000.The equipment was assigned a residual value of $7,000 and an 8-year life. It was estimatedthat the equipment would be used to produce a total of 200,000 units over its life. The equipmentwas to be depreciated using the units of production depreciationmethod

During2004, the equipment was used to produce a total of 18,000 units. AtDecember 31, 2005, the book value of the equipment was $99,748.

Calculate the number of units the equipment was used to produce in 2005.

Reference no: EM13259235

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