Question: Bonita Company uses the units-of-activity method in computing depreciation. A new plant asset is purchased for $45000 that will produce an estimated 90000 units over

Bonita Company uses the units-of-activity method in computing depreciation. A new plant asset is purchased for $45000 that will produce an estimated 90000 units over its useful life. Estimated salvage value at the end of its useful life is $3600. What is the depreciation cost per unit?

A. $0.50

B. $5.00

C. $4.60

D. $0.46

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