Special-purpose machine is to depreciated as linear function

Reference no: EM13692416

A special-purpose machine is to be depreciated as a linear function of uses (units-of-production method). It costs $35,000 and is expected to produce 150,000 units and then be sold for $5,000. Up to the end of the third year, it had produced 60,000 units, and during the fourth year it produced 18,000 units. What is the depreciation deduction for the fourth year and the BV at the end of the fourth year? (7.3)

Reference no: EM13692416

Questions Cloud

What is the marginal product of labor : A firm produces 4,000 units of output using 500 workers. Marginal cost is $10, the wage rate is $160, and total fixed cost is $100,000. What is the marginal product of labor?

What proportional tax rate would yield the same tax revenue : A sales person has the following utility function: u(w, ?) = sqrt(w, ?), w is the hourly wage and ? is the number of hours worked in a typical day. This person is choosing between 2 jobs. The first job promises a constant work day of 8 hours and an h..

What is the short-run effect of a fiscal contraction : Explain what is the short-run effect of a fiscal contraction (lower government spending for example)? What happens to the nominal wage rate during the process of moving from short-run equilibrium to long run equilibrium?

Great depression were dominated by : The first two years of the Great Depression were dominated by

Special-purpose machine is to depreciated as linear function : A special-purpose machine is to be depreciated as a linear function of uses (units-of-production method). It costs $35,000 and is expected to produce 150,000 units and then be sold for $5,000. Up to the end of the third year, it had produced 60,000 u..

What is the depreciation deduction in year three : During its current tax year (year one), a pharmaceutical company purchased a mixing tank that had a fair market price of $120,000. it replaced an older, smaller mixing tank that had a BV of $15,000.

Determine the gds and ads depreciation deductions : A piece of construction equipment (asset class 15.0) was purchased by the Jones construcion company. The cost basis was $300,000. Determine the GDS and ADS depreciation deductions for this property.

An asset for drilling was purchased and placed in service : An asset for drilling was purchased and placed in service by a petrolium production company. it cost basis is $60,000 and it has an estimated MV of $12,000 at the end of an estimated useful life of 14 years.

Contractionary-the natural employment deficit falls : Suppose we have an economy in which G = 100, t = 0.26, Y = 3800, and YN = 4000. Then t rises to 0.28 as the same time as G rises to 150. The overall impact of this resettling of the fiscal variables is ________ because ________.

User Account

All Pages