Mott Company Uses the Units-Of-Activity Method in Computing Depreciation

question 231

Multiple Choice

Mott Company uses the units-of-activity method in computing depreciation. A new plant asset is purchased for $48000 that will produce an estimated 100000 units over its useful life. Estimated salvage value at the end of its useful life is $4000. What is the depreciation cost per unit?

• A) $4.40
• B) $4.80
• C) $.44
• D) $.48

---

Definitions:

Emotional Outlooks

The way individuals view or interpret their emotions and feelings, which can influence their overall mood and attitude.

Healthy Practices

Activities or behaviors that are conducive to maintaining or improving one's physical and mental health.

Regular Exercise

is the practice of engaging in physical activity on a routine basis to improve or maintain one's health and fitness.

Event Causes

Factors or conditions that directly lead to the occurrence of a specific event or outcome.