The Sahara Company purchased equipment on January 1, 2015, for $100,000. The equipment had an estimated residual value of $10,000, an estimated useful life of five years, and estimated lifetime output of 18,000 units. In 2016, the company produced 4,400 units and recorded depreciation expense of $22,000. What depreciation method did the company use?

A) straight-line method
B) sum-of-the-years'-digits method
C) double-declining-balance method
D) units-of-output method


Answer : D

Business

You might also like to view...

What is the difference between behavioral and attitudinal loyalty?

What will be an ideal response?

Business

Both internal and external factors can influence the pricing decision

Indicate whether the statement is true or false

Business

Discuss the most effective ways to use text messaging in business

What will be an ideal response?

Business

Underapplied factory overhead that is material in amount is closed to ??????????????????????????????? ??????????????????????????????? and ?????????????????????????????? at year end

Business