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Question - A machine is purchased January 1 at a cost of $56,290. It is expected to produce 129,000 units and have a salvage value of $3,400 at the end of its useful life.
Units produced are as follows:
Year 1 10,400
Year 2 8,000
Year 3 11,300
Year 4 15,700
Year 5 11,300
Required: Prepare a schedule showing depreciation for each year and the book value at the end of each year using the units-of-production method (round calculations to two decimal places).
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