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Compute the solution of the following problem
Problem- The Seven Brides Division of Block C Enterprises purchased a CNC machine for use in their plant 7 years ago. The machine had a purchase price of $100K and a salvage value of $5K. The machine had an expected life of 6 years at 2000 hours per year but was not be used full time and was depreciated based upon its hourly usage. The accumulate depreciation is 11300 hours.
Part 1- Calculate the depreciation cost for this machine this year based on a usage of 1500 hours
I want help to determine the depreciation cost for this machine.
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