Sara company installs a computerized manufacturing machine

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Reference no: EM13605848

Sara Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $67,000. The machine's useful life is estimated at 10 years, or 420,000 units of product, with a $4,000 salvage value. During its 1st year, the machine produces 25,000 units of product and during its 2nd year, it produces 29,900 units of product.Determine the machine's 1st and 2nd year depreciation using the straight-line method.

Reference no: EM13605848

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