Posted by **Anonymous** on Thursday, November 17, 2011 at 1:31pm.

using problem 17-21 calculate the first 2 years depreciation assuming the units of production method. this machine is expceted to produce 120,000 units. in year 1 it produced 19,000 units and in year 2 38,000 units

problem 17-21

Jim company bought a machine for $36,000 with an estimated life of 5 years. The residual value of the machine is $6,000. Calculate (a) the annual depreciation and (b) the book value at the end of year 3. Assume straight line depreciation.

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