On 1 January 2013, Zane Manufacturing Company purchased a machine for $40 000. The company expects to use the machine a total of 24 000 hours over the next 6 years. The estimated sales price of the machine at the end of 6 years is $4 000. The company used the machine 8 000 hours in 2013 and 12 000 in 2014. What is the depreciation expense for 2014 if the company uses straight- line depreciation?
A) $9 000
B) $13 333
C) $6 000
D) $10 000
Correct Answer:
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