Fleet Rentals purchased equipment with a cost of $200,000 at the beginning of Year 1.The equipment has an estimated life of 10 years or 100,000 units of product.The estimated residual value is $20,000.During Year 1,11,000 units of product were produced with this machinery.Determine the following:
A) Using units-of-production depreciation, what is the amount of total accumulated depreciation at December 31, Year 1 ?

Question

Fleet Rentals purchased equipment with a cost of $200,000 at the beginning of Year 1.The equipment has an estimated life of 10 years or 100,000 units of product.The estimated residual value is $20,000.During Year 1,11,000 units of product were produced with this machinery.Determine the following:
 A) Using units-of-production depreciation, what is the amount of total accumulated depreciation at December 31, Year 1 ?

Quizplus · Accepted Answer

The Answer of Fleet Rentals purchased equipment with a cost of $200,000 at the beginning of Year 1.The equipment has an estimated life of 10 years or 100,000 units of product.The estimated residual value is $20,000.During Year 1,11,000 units of product were produced with this machinery.Determine the following:
 A) Using units-of-production depreciation, what is the amount of total accumulated depreciation at December 31, Year 1 ?

Fleet Rentals Purchased Equipment with a Cost of $200,000 at the Beginning