Find what is the depreciation expense for the current year

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On October 1 of the current year, a company purchased and placed in service a machine with a cost of $240,000. The company estimated the machine's useful life to be four years or 60,000 units of output with an estimated salvage value of $60,000. During the current year, 5,000 units were produced.

For the purpose of this question, you can assume every month is 1/12 of a year.

Question a: What is the depreciation expense for the current year assuming the company uses:

1. The straight-line method of depreciation

2. The units-of-production method of depreciation

3. The double-declining-balance method of depreciation

Reference no: EM132604591

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