QUESTION 16 Winston Company uses the units-of-activity rathod in computing depreciation. A new plant asset is purchased for $42.000 that will produce an estimated 130,000 units over its useful life. Estimated salvage value at the end of its useful life is $4,000. Calculate the depreciation cost per unit. (Answer should rounded to the nearest to two decimal places, i.e. 0.4666 would be entered as 0.47)
QUESTION 16 Winston Company uses the units-of-activity rathod in computing depreciation. A new plant asset is purchased for $42.000 that will produce an estimated 130,000 units over its useful life. Estimated salvage value at the end of its useful life is $4,000. Calculate the depreciation cost per unit. (Answer should rounded to the nearest to two decimal places, i.e. 0.4666 would be entered as 0.47)
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:QUESTION 16
Winston Company uses the units-of-activity method in computing depreciation. A new plant asset is purchased for
$42,000 that will produce an estimated 130,000 units over its useful life. Estimated salvage value at the end of its useful
life is $4,000.
Calculate the depreciation cost per unit.
(Answer should rounded to the nearest to two decimal places, i.e. 0.4666 would be entered as 0.47)
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