Wickland Company installs a manufacturing machine in its production facility at the beginning of the year at a cost of $117,000. The machine's useful life is estimated to be 10 years, or 130,000 units of product, with a $3,000 salvage value. During its second year, the machine produces 10,400 units of product. Determine the machines' second year depreciation under the straight-line method.

Respuesta :

Answer:

$11,400

Explanation:

Straight line depreciation expense = (Cost of asset - Salvage value) / useful life

( $117,000 - $3,000) / 10 = $11,400

the straight line depreciation method allocates the same depreciation expense for each year. so, the depreciation expense would be $11,400