A machine cost $21,000 and has an estimated useful life of five years and a residual value of $3,000.What is the annual amortization expense for each of the first two years under the following amortization methods? $\begin{array}{llll}
& \text { Year 1 } & \text { Year 2 } \
\hline\text { (a) Sum-of-the-years'-digits... }&\$\_\_\_\_&\$\_\_\_\_
\end{array}$ $\text { (b) Declining balance... }\quad\quad\quad\quad\$\_\_\_\_ \quad\quad\quad\quad\$\_\_\_\_$ (c) Productive output (potential output is estimated at 90,000 units,in the first year,
The machine turned out 15,000 units; in the second year, $\text { I8,000 units) }\quad\quad\quad\quad\$\_\_\_\_ \quad\quad\quad\quad\$\_\_\_\_ $ $\text { (d) Straight-line .................. } \quad\quad\quad\quad\$\_\_\_\_\quad\quad\quad\quad\$\_\_\_\_$

Question

A machine cost $21,000 and has an estimated useful life of five years and a residual value of $3,000.What is the annual amortization expense for each of the first two years under the following amortization methods? $\begin{array}{llll} 
&  \text { Year 1 } & \text { Year 2 } \
\hline\text { (a) Sum-of-the-years'-digits... }&\$\_\_\_\_&\$\_\_\_\_
\end{array}$ $\text { (b) Declining balance... }\quad\quad\quad\quad\$\_\_\_\_ \quad\quad\quad\quad\$\_\_\_\_$ (c) Productive output (potential output is estimated at 90,000 units,in the first year,
The machine turned out 15,000 units; in the second year, $\text { I8,000 units) }\quad\quad\quad\quad\$\_\_\_\_ \quad\quad\quad\quad\$\_\_\_\_ $ $\text { (d) Straight-line .................. } \quad\quad\quad\quad\$\_\_\_\_\quad\quad\quad\quad\$\_\_\_\_$

Quizplus · Accepted Answer

The Answer of A machine cost $21,000 and has an estimated useful life of five years and a residual value of $3,000.What is the annual amortization expense for each of the first two years under the following amortization methods? $\begin{array}{llll} 
&  \text { Year 1 } & \text { Year 2 } \
\hline\text { (a) Sum-of-the-years'-digits... }&\$\_\_\_\_&\$\_\_\_\_
\end{array}$ $\text { (b) Declining balance... }\quad\quad\quad\quad\$\_\_\_\_ \quad\quad\quad\quad\$\_\_\_\_$ (c) Productive output (potential output is estimated at 90,000 units,in the first year,
The machine turned out 15,000 units; in the second year, $\text { I8,000 units) }\quad\quad\quad\quad\$\_\_\_\_ \quad\quad\quad\quad\$\_\_\_\_ $ $\text { (d) Straight-line .................. } \quad\quad\quad\quad\$\_\_\_\_\quad\quad\quad\quad\$\_\_\_\_$