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A machine costing $57,000 with a six-year life and $54,000 depreciable cost was purchased January 1. Compute the yearly depreciation expense using straight-line depreciation.

Respuesta :

Answer:

$9,000

Explanation:

The computation of the depreciation expense using the straight-line method is shown below;

= (Purchase value of machinery - residual value) ÷ (estimated useful life)

= $54,000 ÷ 6 years

= $9,000

The depreciation cost is the cost which is come after considering the salvage value and the same is to be considered

Hence, the depreciation expense is $9,000