Garfield Company purchased a machine on July 1, 2008, for $25,000. Garfield paid $200 in title fees
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Garfield Company purchased a machine on July 1, 2008, for $25,000. Garfield paid $200 in title fees and county property tax of $125 on the machine. In addition, Garfield paid $500 shipping charges for delivery, and paid $475 to a local contractor to build and wire a platform for the machine on the plant floor. The machine has an estimated useful life of 6 years with a scrap value of $3,000. Determine the depreciation base of Garfield’s new machine. Garfield uses straight-line depreciation.
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Related Book For
Intermediate Accounting principles and analysis
ISBN: 978-0471737933
2nd Edition
Authors: Terry d. Warfield, jerry j. weygandt, Donald e. kieso
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