BUS–A 201 at Indiana University--Bloomington

6. Units of Production

in Topic 8 (Video 6 of 8)
Units of production is as easy as straight line, but instead of using "years", we're going to use "units".

This Video Mentioned Some Formulas

Depreciable Base = Cost - Salvage Value
Units of Production Depreciation Expense = Units Produced * (Depreciable Base / Total Expected Units)
This is not different than straight line, except that instead of "years", we're using "units".

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