Straight-line method of depreciation for the machinery


On January 1, 2008, Medved Corporation acquired machinery at a cost of $250,000. Medved adopted the double-declining balance method of depreciation for this machinery and had been recording depreciation over an estimated useful life of ten years, with no residual value. At the beginning of 2011, a decision was made to change to the straight-line method of depreciation for the machinery. The depreciation expense for 2011 would be:

$12,800

$18,286

$25,000

$35,714

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Finance Basics: Straight-line method of depreciation for the machinery
Reference No:- TGS050062

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