Question

Which depreciation method would be most appropriate for each of the following assets?
a. This machine is used as a backup to the other machines in the production process. As a result there are some years where it sees a lot of action and others where it is seldom used. It is not a high-tech machine. It will not become obsolete in the foreseeable future.
b. Typically this machine will work very effectively and with few repairs for the first three years, but will be down for maintenance quite a bit during its final four years of use.
c. This machine is expected to run constantly over the entire period it is used. It requires regular maintenance over its lifetime to maintain its expected steady level of production.


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  • CreatedJuly 08, 2015
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