What amount of depreciation expense reported on blue chip

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Problem 1: Anna Judd of Blue Chip Limited, an Australian corporation, is computing the depreciation expense of a manufacturing plant for the fiscal year ended 31 March 2014. The plant was acquired on 1 April 2013. Judd gathers the following information (currency in Australian dollars, AUD): Plant cost AUD 2,500,000: Estimated residual value AUD 250,000: Expected useful life 10 years: Total productive capacity 1,900,000 units: Production in FY 2014 100,000 units: Expected production for the next 9 years 200,000 units each year: The amount of depreciation expense (in AUD) reported on Blue Chip's income statement related to the manufacturing plant based on units-of-production method is closest to

Reference no: EM132937167

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