Question: A machine with a cost of $ 1 4 4 , 0 0 0 has an estimated residual value of $ 1 8 , 0

A machine with a cost of $144,000 has an estimated residual value of $18,000 and an estimated life of 5 years or 18,000 hours. It is to be depreciated by the units-of-activity method. What is the amount of depreciation for the second full year, during which the machine was used 6,400 hours?
a. $44,800
b. $26,800
c. $57,600
d. $6,400

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