On January 12, 20X1, Harris Company purchased a machine to mold components for one of its products. Total cost of the machine was $480,000. It is expected to produce 450,000 units and to have a salvage value of $30,000. The company used the units-of-production method of depreciation.
a. In 20X1, it produced 52,000 units. Compute the depreciation expense for 20X1.
b. During 20X2, 60,000 units were produced. Compute the depreciation expense for 20X2.