What is the book value of the machine by the end of the year

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Reference no: EM132761700

Problem 1: A machine with a cost of $225,000 has an estimated residual value of $25,000 and an estimated operating hour of 50,000 hours is to be depreciated by the units-of-output method. For the first full year, the machine was used 10,000 hours; what is the book value of the machine by the end of the year?

Select one:

a. $160,000
b. $185,000
c. $40,000
d. Cannot be determined

Reference no: EM132761700

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