Required information The following information applies to th

Required information The following information applies to the questions displayed below Ramirez Company installs a computerized $84.200. The machine\' During its second year, the machine produces 33,100 units of product manufacturing machine in its factory at the beginning of the year at a cost of s useful life is estimated at 20 years, or 391.000 units of product, with a $6,000 salvage value. Determine the machine\'s second year depreciation using the units-of-production method Units-of-production Depreciation l Choose Denominator Annual Depreciation Expense | Depreciation expense per unit Choose Numerator = 0 Year Annual Production (units) Depreciation Expense

Solution

The completed table is provided as below:

Answer is $6,620.

	Units of Production Depreciation
	Choose Numerator:	/	Choose Denominator:	=	Annual Depreciation Expense
	Cost minus Salvage	/	Total Units of Production	=	Depreciation Expense Per Unit
	78,200	/	391,000	=	0.20
Year	Annual Production (Units)		Depreciation Expense
2	33,100		6,620 (33,100*.20)