I don\'t agree with the unit of production method posted in the picture. Wouldn\'t you determine the unit cost before calculating your depreciation for each production year, using the total units produced at Not the estimated production of units. This would create a unit cost of cents. My calculation makes sense considering when you get to the net book value equals that of the residual value. Can you please verify the posted answer.

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To verify the calculation of depreciation using the unit of production method lets consider the step... View the full answer