A machine with a four-year estimated useful life and an estimated 15 percent salvage value was acquired on January 1,2016.On December 31,2018,the accumulated depreciation using the sum-of-year's digits method would be

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The sum-of-the-years-digits method calculates depreciation based on a fraction where the numerator is the number of years remaining in the asset's life and the denominator is the sum of the years' digits. For a four-year life, the sum of the years' digits is 10 (4+3+2+1). By the end of 2018, three years have passed, so the fraction for accumulated depreciation is (4+3+2)/10 = 9/10. The depreciation base is the original cost less salvage value.

A Machine with a Four-Year Estimated Useful Life and an Estimated