Homework answers / question archive / At the beginning of the year, Powers Company purchased a piece of machinery for $50,000

At the beginning of the year, Powers Company purchased a piece of machinery for $50,000

Accounting

Share With

At the beginning of the year, Powers Company purchased a piece of machinery for $50,000. It has a salvage value of $5,000, an estimated useful life of 9 years, and estimated units of output of 90,000 units. Actual units produced during the first year were 11,000. Depreciation expense for the first year under the straight-line method is:

a. $5,556.

b. $5,500.

c.   $5,000.

d. $5,300.