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Question - On April 1, 2019, the KB Toy Company purchased equipment to be used in its manufacturing process. The equipment cost $59,800, has an ten-year useful life, and has no residual value. The company uses the straight-line depreciation method for all manufacturing equipment. On January 4, 2021, $14,750 was spent to repair the equipment and to add a feature that increased its operating efficiency. Of the total expenditure, $3,200 represented ordinary repairs and annual maintenance and $11,550 represented the cost of the new feature. In addition to increasing operating efficiency, the total useful life of the equipment was extended to 12 years. Record the depreciation expense for 2021.
Softech pays no dividends, and instead reinvests all earnings for future growth.
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Question - Suppose a bakery reports this information: What is the cost of goods manufactured
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