Depreciation on a particular piece of machinery was N2,700 during the fifth year of its…

Depreciation on a particular piece of machinery was N2,700 during the fifth year of its service life and N4,050 during the sixth year. The logical explanation for this is that?
  • A.
    an addition was made to the asset during the sixth year
  • B.
    the estimate of salvage value on this equipment was decreased
  • C.
    a unit-of-output method of depreciation was used during the sixth year
  • D.
    the estimate remaining service life of the assets was increased at the beginning of the sixth year
Correct Answer: Option A
Explanation
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