Skip to main content
Pearson+ LogoPearson+ Logo
Start typing, then use the up and down arrows to select an option from the list.
Financial Accounting8. Long Lived AssetsDepreciation for Partial Years
Problem

DAB Company purchased a machine on November 1, Year 1 for $12,000. DAB estimated that the machine could produce 60,000 units over its useful life and would be worth $2,000 as scrap. During Year 1, DAB produced 3,000 units. During Year 2, DAB produced 12,000 units. During Year 3, DAB produced 9,000 units. If DAB uses the units-ofproduction method for depreciation, what would be the net book value of the machine at the end of Year 2?

4:51m

Watch next

Master Depreciation for Partial Years with a bite sized video explanation from Brian Krogol

Start learning
04:51
Depreciation for Partial Years
Brian Krogol
68
Divider
Click to get Pearson+ app

Download the Mobile app

© 1996–2023 Pearson All rights reserved.