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On January 1, 2019, Thomas Peter Company Purchased a Bottle-Capping

Question 126

Multiple Choice

On January 1, 2019, Thomas Peter Company purchased a bottle-capping machine for $480,000. During its useful life, the company expects that the machine will cap 1,500,000 bottles. The machine's expected salvage value is $30,000. During 2019, the machine capped 250,000 bottles and during 2020, the machine capped 300,000 bottles.
Assuming units-of-production depreciation, 2020 depreciation expense is:


A) $75,000
B) $79,998
C) $90,000
D) $96,000

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