Webcke Limited Acquired an Item of Machinery with an Expected

question 49

Multiple Choice

Webcke Limited acquired an item of machinery with an expected useful life of 4 years. The expected total production output over this period was: year 1, 30 000 units; year 2, 25 000 units; year 3, 15 000 units; year 4, 10 000 units. The machinery cost $85 000 and the residual value is $15 000. The amount of depreciation expense recorded in the first year is:

• A) $26 250.
• B) $31 875.
• C) $21 875.
• D) $17 500.

---

Definitions:

Monotremes

Mammals that lay eggs instead of giving birth to live young, including species such as the platypus and echidnas.

Marsupials

A group of mammals characterized by giving birth to relatively undeveloped young that typically complete their development in a pouch on the mother's body.

Depth Perception

The ability to perceive the world in three dimensions and judge the distance of objects.

Predatory Behavior

Actions or strategies employed by predators to catch their prey, often involving stalking, camouflage, and ambush.