The Doodad Company Purchases a Machine for $400,000

Multiple Choice

The Doodad Company purchases a machine for $400,000.The machine has an estimated residual value of $20,000.The company expects the machine to produce two million units.The machine is used to make 400,000 units during the current period.
-Use the information above to answer the following question.If the units-of-production method is used,the depreciation expense for this period is:

A) $80,000.
B) $400,000.
C) $76,000.
D) $380,000.