Herb has $20,000 in an interest-bearing time deposit with the Applebottom Bank and Trust Company. While earning a relatively att
1 answer:
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Answer:
amount of depreciation expense = $49,560
so correct option is A.) $49,560
Explanation:
given data
purchased cost = $341,560
useful life = 8 years
residual value = $19,000
machine produce = 768,000 bolts
1st year produced = 114,000 bolts
2nd year production increased = 118,000 units
to find out
amount of depreciation expense that should be recorded for the second year
solution
we get here amount of depreciation expense for 2nd year that is express as
amount of depreciation expense = ( purchased cost - residual value ) × 2nd year production increased ÷ machine produce ......................1
put here value we get
amount of depreciation expense = $341,560 - $19,000 ×
amount of depreciation expense = $49,560
so correct option is A.) $49,560