Ramer Inc. manufactures sporting goods. The following information applies to a machine purchased on.

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Ramer Inc. manufactures sporting goods. The following information applies to a machine purchased on January 1, 2013:Purchase price ………… $ 80,000Delivery cost ………… $ 2,500Installation charge ………. $ 850Estimated life ………… 5 yearsEstimated units ………… 160,000Salvage estimate ……….. $ 3,350During 2013, the machine produced 35,000 units and during 2014, it produced 36,000 units. Required Determine the amount of depreciation expense for 2013 and 2014 using each of the following methods:a. Straight-line. b. Double-declining-balance. c. Units of production. d. MACRS, assuming that the machine is classified as seven-year property.View Solution:
Ramer Inc manufactures sporting goods The following information applies to