Gruman Company purchased a machine for $198,000 on January 2, 2016. It made the following estimates: Service life 5 years or 10,000 hours Production 180,000 units Residual value $ 18,000 In 2016, Gruman uses the machine for 2,000 hours and produces 50,000 units. In 2017, Gruman uses the machine for 1,400 hours and produces 32,000 units. If required, round your final answers to the nearest dollar.
For each method, what is the book value of the machine at the end of 2016? At the end of 2017?
Activity method based on units of output
Please fill in the blanks. Thank you. The answers are all wrong from other posts.