If the new machine is purchased, depreciation expense will increase or decrease by
A) increase $8,000.
B) increase $6,900.
C) Increase $6,300.
D) decrease $5,000.

Name: If the new machine is purchased, depreciation expense will increase or decrease by A) increase $8,000. B) increase $6,900. C) Increase $6,300. D) decrease $5,000.
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Question

Quizplus · Accepted Answer

The depreciation expense will increase by the amount of the depreciation expense of the new machine, which is $6,900 (($46,000 - $4,000) / 8 years).

If the New Machine Is Purchased, Depreciation Expense Will Increase