Quinine Company has a 12/31 year end and buys a bottling machine to use in its manufacturing plant on September 12, 2009. The cost of the machine is $300,000, Taxes, duty and freight on the machine totaled $30,000 Expected salvage value is for the scrap value of the metal and is thought to be $10.000. The company uses the units of production method and he machine is expected to last 5.000 machine hours. Actual usage in 2009 was 600 hours and in 2010 1,400 hours Depreciation expense recorded in 2010 would be: Mutiple Choice Some other amount $92400 $140.800 $145.200 $89.600

Quinine Company has a 12/31 year end and buys a bottling machine to use in its manufacturing plant on September 12, 2009. The cost of the machine is $300,000, Taxes, duty and freight on the machine totaled $30,000 Expected salvage value is for the scrap value of the metal and is thought to be $10.000. The company uses the units of production method and he machine is expected to last 5.000 machine hours. Actual usage in 2009 was 600 hours and in 2010 1,400 hours Depreciation expense recorded in 2010 would be: Mutiple Choice Some other amount $92400 $140.800 $145.200 $89.600

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter10: Project Cash Flows And Risk

Section: Chapter Questions

Problem 4PROB

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